Ghana records $1.7b trade deficit last nine months in 2011

Ghana recorded an external trade deficit of $1.7 billion in the first nine months (January-September) of 2011, figures made available by the Bank of Ghana (BoG) October 19, 2011 shows.

According to the BoG, total merchandise exports within the period amounted to $9.8 billion in 2011, representing a growth of about 67% over the same period of 2010 whereas total merchandise imports amounted to $11.5 billion, representing an annual growth of 45.6%.

This means the country imports more than it exports on the international market having a shortfall of $1.7 billion within the period compared to $2 billion for the corresponding period in 2010.

A sheet made available by officials of the United States Agency for International Development (USAID) in Accra October this year, shows that Ghana has trade deficits of rice and maize needs of 85% with agriculture contributing close to 30% of gross domestic product (GDP) employing 56% of the labour force in a population of about 24.7 million.

“External trade data for the first nine months of 2011 show that the balance of trade recorded a provisional deficit of $1.7 billion, compared to a deficit of $2 billion for the corresponding period in 2010,” Mr Kwesi Amissah-Arthur, governor of the central bank told reporters in Accra.

On export, the governor said the strong growth continues to be driven by gold, cocoa beans and crude oil. “The total export of crude oil from January to September was $1.97 billion, while gold exports were $3.7 billion, and cocoa beans were $1.7 billion.”

On imports, the central bank indicated that the country imported $991.4 million worth of crude oil, $1.1 billion worth of oil products. There were imports of gas through the West African Gas Pipeline of $107.9 million, it adds.

“Total non-oil imports, classified according to the Basic Economic Classification (BEC) or end use, amounted to $9.3 billion; Consumption goods imported amounted to $2.3 billion; Intermediate imports totalled $4.5 billion, while imports of capital goods were $1.9 billion and others amounted to $598 million. Between January and July 2011, Ghana’s exports amounted to $7.5 billion also driven by oil, gold and cocoa,” Mr Amissah-Arthur said.

By Ekow Quandzie