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Subject

The Ghanaian government's challenges

Significance

Almost 18 months after the New Patriotic Party (NPP) took office, there has been a notable uptick in Ghana's macroeconomic indicators, including an estimated doubling of the GDP growth rate to 8.5% in 2017. Additionally, inflation has lessened, fiscal consolidation targets are being met and public debt has declined. Notwithstanding these achievements, President Nana Akufo-Addo's flagship infrastructure promises have largely been unmet and growth for 2018 is estimated to decline to 6.3%.

Impacts

Unemployment, particularly among younger workers, will remain stubbornly high in the short term.

The NPP will struggle to fulfil promises of improved conditions and prices for cocoa farmers amid fluctuating global prices.

Improving tax revenues and collection, while not undermining popular or investor support, will prove a major challenge for the government.

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