Total household spending falls by 11% – UK-Ghana Chamber of Commerce survey

Total household spending in Ghana reduced by a high margin of 11.09% in 2022, the 4th edition of UK-Ghana Chamber of Commerce Annual Ghana Business Environment and Competitive Survey has revealed.

This the research said could be a result of inflationary hikes experienced in the country.

“The imposition of a 1.5% E-Levy and the weakening of the currency in 2022 affected the total spending. A decline in disposable income in 2022 also affected total spending”.

However, the number of households increased in 2022, amidst the high cost of living.

According to the survey, the number of households is expected to continue increasing beyond 2025.

Disposal income per household is also projected to rise to $3,901 in 2024, an increase from 2023 projected levels.

“Despite a reduction in disposable income in 2022, the number of households is expected to rise to 8.5 million. 2025 is projected to rise to 9.4 million”, the report added.

Ghana’s population to surpass 50m by 2025

The research also pointed out that Ghana’s population is expected to keep rising surpassing 50 million by 2050.

The urban and rural trends is expected to continue with 73% of the population anticipated to be living in urban areas – up from 60% expected in 2025.

The population currently stands at 32.7 million and is expected to rise to 34.4 million by 2025.

Currently, 57% and 43% of the population live in rural and urban areas, respectively.

The rural and urban populations continue to increase. Over the last five years, the population growth rate in the rural area declined by 1%.

 

Source: Joy Business News