The outcome and aftermath of Ghana’s 2024 elections will be a key test whether the West African nation can find a balance between the dual objectives of living within its means and achieving economic growth that creates sustainable jobs for its teeming youth.
Ghanaians are heading to the polls amid rising poverty and high cost of living. Ghana has been in economic crisis since 2022 when it was forced to seek assistance from the International Monetary Fund (IMF) to be able to meet its payments to the rest of the world and restore the health of government finances. This was the second time in the three years that Ghana had to tap the IMF, and 17th since independence in 1957.
Though inflation which peaked at 54% in 2022 and the country’s currency, the Cedi, have stabilised somewhat since mid-2023 under IMF-supported reforms, these improvements have not been significant enough to be felt by citizens. Inflation remains sticky. Monthly consumer inflation figures have averaged 22.85% from January to November 2024, below the pre-crisis (2017-2021) average of 10.14%.
