GDP experienced stunted growth in the last 5 years - PWC

A Report by PriceWaterhouseCoopers, financial and management consultants, says real Gross Domestic Product (GDP) for the last five years showed stunted sectoral growth.

The Report, which reflects the 2002 budget and general economic trends in the country and made available to GNA Business News, said the agricultural and industrial sectors were seriously lagging behind.

Agriculture this year for instance, is set to grow at just 4.1 per cent, up from 4.0 per cent the previous year.

Real GDP growth in 2000 was 3.7 per cent while that for last year was 4.2 per cent.

GDP in 1999 was 4.4 per cent. This was below the projected 5.5 per cent. It was 5.6 per cent in 1998 and 5.1 in 1997. In 1996 GDP fixed at 5.2 per cent and 4.5 per cent in 1995.

"This may be as a result of lack of clear focus on the development of these sectors over the years," the Report said.

"Growth in agriculture can be erratic since the forecast for the sector remains vulnerable to unpredictable weather patterns."

The Report urged government not to relent in its programme to modernise agriculture and the private sector, if real GDP is to shoot up.

On the stability of the cedi, the Report said Ghana would enjoy long-term growth if the local currency were able to boost export competitiveness sufficiently to drive non-traditional export growth.

The Report asked government to equip many of the unemployed persons registered last year and encourage them to go into modernised farming to boost the agricultural sector.

"Undertaking such a venture would have a positive knock-on effect on industry and even the service sector as well."