AfDB’s investment in Ghana total $4.1bn
Total value of investments made by multilateral institution, the African Development Bank (AfDB), in Ghana, has reached $4.1bn.
According to the multilateral institution, the $4.1bn investment translates into some 127 projects approved by the Bank.
The projects, the AfDB further notes, have concentrated mainly on the agriculture and transport sectors which together, accounts for more than 50% of the Bank’s investments in the country.
According to the AfDB, it’s current active portfolio in Ghana comprises 18 operations with a total commitment of $751.5 million across various sectors.
The transport sector is the largest beneficiary with 42% of total commitments, followed by agriculture (23%), and the remaining going to sectors including power and water supply and sanitation.
Meanwhile, the Bank, in a recent report has noted that the impact of the Covid-19 pandemic and the Ukraine-Russia crisis could dent the economic prospects of the country.
The report titled “Transforming Ghana” reviews the country’s development over the past ten years (2012–2021) and evaluates the African Development Bank’s contribution through its High 5 strategic priorities.
Ghana’s GDP per capita grew 2.3% per year on average between 2012 and 2021, the report notes, citing the country’s stable political environment. Real GDP growth averaged 5.2% during the same time, causing the country to rank among Africa’s fastest-growing economies for several years.
Having achieved lower-middle income status in 2010, the population living below the poverty line fell from 24.2% in 2012 to 10.7% in 2021.
With regards to the High 5s, the Bank’s track record is impressive. In the period under review, 96,200 people gained access to electricity connections, thanks to Bank-funded projects.
A further 520,000 benefited from improvements in agriculture. Around 1.24 million people have enjoyed better transport services, and 277,000 people gained access to new or improved water supplies, among other achievements.
Looking ahead, the medium-term outlook is positive, with the economy projected to grow by 5.3% in 2022 and 5.1% in 2023. This may change if the Ukraine-Russia crisis is prolonged, the report found.
It said the Covid-19 pandemic and the Ukraine-Russia crisis have accentuated the need for structural transformation, citing declining mineral resources.
