Index of industrial production surges to 8.2% in 2024 2nd quarter

In the second quarter of 2024, Ghana’s industrial production continued to show positive momentum with a year-on-year growth rate of 8.2%, up from the second quarter of 2023.

The Index of Industrial Production (IIP) for the second quarter of 2024 stood at 99.8, compared to 92.2 in the same quarter of 2023.

This is according to the latest data from the Ghana Statistical Service (GSS).

Breaking down the figures, the manufacturing sector, a major contributor, recorded a strong growth rate of 8.3%. Mining and quarrying, which comprises over half of the IIP’s weight at 53%, also posted an 8.2% increase. These sectors were the main drivers of the growth, highlighting resilience and potential for future expansion in production.

However, not all sectors saw positive growth. The electricity and gas sector experienced a 1.4% decline, potentially signalling challenges in energy production and supply.

On the other hand, the water supply, sewage, and waste management sector registered a mild 1.2% improvement, showing some stability but lagging behind the overall industrial growth rate.

Quarter-on-quarter, production also showed progress, albeit at a slower pace. The Q2 2024 production grew by 0.3% compared to Q1 2024. While the growth rate slowed from the previous quarter, this still reflects a steady upward trend.

In summary, the report indicates Ghana’s industrial sector is on a solid growth path, with manufacturing and mining playing key roles.

However, challenges in the energy sector need attention to sustain the overall positive industrial performance.

 

Credit: Citi Business