Ghana has recorded a trade surplus of GH¢5.4 billion in the second quarter of 2024, according to the latest data from the Ghana Statistical Service. This surplus marks a significant turnaround from the deficit of GH¢3.1 billion reported during the same period in 2023, reflecting positive developments in the country’s trade balance over the past year.
The total trade value for Q2 2024 amounted to GH¢123.0 billion. Out of this, Ghana’s exports totalled GH¢64.2 billion, while imports amounted to GH¢58.8 billion, leading to the overall surplus. When converted to US dollars, the total trade volume for the quarter stood at $9.0 billion, demonstrating the ongoing strength of the country’s international trade activities.
The GH¢5.4 billion surplus, while noteworthy, is a decline from the trade surplus recorded in the first quarter of 2024, which stood at GH¢11.5 billion. Despite this, the improvement from the previous year’s deficit highlights Ghana’s ability to manage its trade operations more effectively.
Gold continues to dominate Ghana’s export sector, remaining the top export product during the second quarter. With a value of GH¢37.0 billion, gold accounted for 57.6 percent of the country’s total exports in Q2 2024. The sustained performance of gold reflects its long-standing role as a key driver of the Ghanaian economy, contributing significantly to the overall trade balance.
In addition to gold, crude petroleum was another major export product during the quarter, bringing in GH¢12.6 billion. Crude petroleum is an essential component of Ghana’s export portfolio, playing a critical role in the nation’s energy sector and generating substantial revenue. Cashew nuts, though smaller in comparison, also contributed to the export earnings, with a value of GH¢1.2 billion.
On the import side, Ghana imported GH¢58.8 billion worth of goods during the second quarter of 2024. The volume of imports reflects the country’s growing demand for foreign products to meet the needs of its economy and population. The balance between imports and exports is an important indicator of economic health, and the country’s ability to maintain a trade surplus shows resilience in the face of fluctuating global markets.
Comparing the data from the first quarter of 2024, where Ghana recorded a GH¢11.5 billion trade surplus, the surplus in Q2 is notably lower. However, it is important to note that external factors, such as global commodity prices, geopolitical events, and shifts in demand for key products like gold and petroleum, can impact the trade balance from quarter to quarter. The GH¢5.4 billion surplus in Q2 remains a positive outcome for the Ghanaian economy, indicating overall growth in trade activities despite challenges in the global marketplace.
In 2023, the country faced a challenging trade environment, with a deficit of GH¢3.1 billion in the second quarter. This deficit highlighted the need for improvements in Ghana’s export performance and better management of import demands. The shift from a deficit in Q2 2023 to a surplus in Q2 2024 underscores the country’s progress in strengthening its trade position. By increasing exports and controlling import levels, Ghana has been able to reverse the negative trend and achieve a more favorable trade balance.
The export of gold, in particular, continues to bolster the country’s economic stability. As global demand for gold remains high, Ghana has capitalized on its abundant resources, resulting in strong export earnings. This has helped to offset the costs of imports and maintain a surplus in the trade balance. Furthermore, the contribution of crude petroleum to export revenues shows the diversification of Ghana’s export base, reducing its dependence on a single commodity and creating a more balanced and sustainable trade structure.
Looking ahead, the outlook for Ghana’s trade balance remains cautiously optimistic. While the GH¢5.4 billion surplus in Q2 2024 is a positive sign, the country will need to continue focusing on expanding its export base, particularly in sectors like agriculture and manufacturing, to ensure long-term sustainability. Additionally, careful management of imports will be necessary to avoid the return of a trade deficit. With global economic conditions remaining uncertain, Ghana’s ability to adapt to changing market dynamics will be crucial in maintaining its trade surplus.
In conclusion, Ghana’s GH¢5.4 billion trade surplus in the second quarter of 2024 marks a significant improvement from the previous year’s deficit and highlights the country’s progress in managing its trade activities. The strong performance of key exports like gold and crude petroleum has played a central role in achieving this surplus. However, the decline from the first quarter’s surplus indicates that ongoing efforts are needed to strengthen the trade balance further. As Ghana continues to navigate the complexities of global trade, its ability to maintain a surplus will be key to ensuring economic stability and growth.
