Journal Issue
Share
Article

Ghana: Selected Issues and Statistical Annex

Author(s):
International Monetary Fund
Published Date:
August 1996
Share
  • ShareShare
Show Summary Details

III. The Transmission Mechanism Between Money and Inflation in Ghana 1/

A. Introduction

Inflation has been persistently high in Ghana for a number of years, and its direct impact on Ghana’s long-term growth has been reasonably well documented in the empirical literature. 2/ These studies found that in the case of Ghana, high inflation rates affected capital accumulation and total factor productivity and hence long-term growth potential. 3/

The objective of disinflation remains high on the government’s economic policy agenda, and the government has identified monetary policy as the most appropriate instrument in achieving this objective. 4/ However, the successful implementation of a disinflation policy based on monetary targeting depends crucially on one major assumption. Inflation should be linked to a controllable monetary target, the demand for which is empirically related to a well-defined set of economic variables in a fairly predictable way. This paper therefore looks at the determinants of inflation in Ghana and examines the extent to which it is a monetary phenomenon.

1. Inflation and monetary growth - recent developments

After Ghana launched its Economic Recovery Program (ERP) in 1983, the annual inflation rate fell from 123 percent in 1983 to 10 percent by 1991. Since 1992, however, this downward trend has reversed and inflation has risen sharply; at the end of 1995, the annual inflation rate was 71 percent (Chart III.1). Table III.1 shows actual and target rates of inflation and money growth in Ghana over the period 1990-95; it indicates that the authorities did not generally meet the prescribed targets. 5/

Table III.1.Ghana: Actual and Programmed Inflation and Money Growth over the Period 1990-95(In percent)
199019911992199319941995
Inflation
Target15.020.05.020.015.019.5
Actual35.910.313.327.734.270.8
Deviation 1/-20.99.7-8.3-7.7-19.2-51.3
Money Growth
Target10.515.011.80.15.014.0
Actual18.019.952.927.446.237.5
Deviation 1/-7.5-4.9-41.1-27.3-41.2-23.5
Source: IMF staff estimates.

In percentage points.

Source: IMF staff estimates.

In percentage points.

2. Review of empirical models of inflation in Ghana

A number of authors have attempted to study empirically the factors that explain inflation in Ghana. The existing evidence seems to be mixed between monetary and supply-side explanations. Chhibber and Shafik (1990) conclude that inflation in Ghana is largely money driven, but Sowa and Kwakeye (1991) argue that inflation in Ghana is influenced largely by real factors, particularly food production. Kapur et al. (1991)1/ specified a Walrasian general equilibrium model, which combines monetarist, cost-push, and structural explanations of inflation. Based on this theoretical model, they estimated a reduced-form equation of inflation in Ghana over the period 1984-90. The inflation regressions they estimated yielded high explanatory power and suggest that inflation in Ghana is primarily a function of domestic supply shocks, and domestic (petroleum price) and external (import cost) cost-push factors. More recently, Johnson et al. (1994) estimated models of inflation using various monetary aggregates based on monthly data from January 1990 to December 1993 and concluded that base money has the highest information content for the predictability of inflation in Ghana.

CHART III.1GHANA Inflation and Broad Money Growth, 1985–95 1/

(In percent)

Sources: IMF, International Financial Statistics, Ghanaian authorities; and staff estimates.

1/ Annual rates of change based on average quarterly data.

This paper builds upon and extends the previous work cited above, notably Kapur et al. (1991), in a number of ways. Firstly, in the spirit of disequilibrium adjustment models, it is argued that the prevalence of high transactions costs and information lags precludes rapid adjustment of actual inflation to its underlying long-run equilibrium level. This suggests that inflation models should incorporate a disequilibrium adjustment mechanism and thus a dynamics process. Secondly, note is taken of the fact that the inflation variable is based on the consumer price index (CPI) and that petroleum prices and imported good prices are by construction components of the CPI basket. The retail prices of petroleum and other imported goods may be taken as good leading indicators of inflation in Ghana, but this does not necessarily imply that they are the true underlying factors that cause inflation in the economy. Thirdly, none of the empirical models of inflation in Ghana so far has addressed the effects of inflationary expectations. Lucas (1976) has argued that econometric models, which do not explicitly model the effects of expectations, are prone to systematic prediction error.

The rest of this paper is organized as follows. Section B presents a model of inflation and the data description. Sections C and D present the econometrics test of the model, without and with inflationary expectations, respectively. Section E summarizes the conclusions. The Appendix contains the detailed econometric results of the inflation models.

B. The General Inflation Model and Data Description

The theoretical inflation model adopted in this paper is summarized in equation (1) below. That is, inflation (π) is a function of money growth (Δm) and movements in the opportunity cost of holding money (Δr). 1/

A priori, excess money supply growth in the economy should lead to a rise in inflation. Conversely, a rise in interest rates should draw liquidity from the economic system and lead to a reduction in inflation.

On the basis of this theoretical monetarist model, a general econometric model of inflation may be specified using a standard dynamic error-correction model (ECM) parameterization incorporating the relevant error-correction term ECM as follows:

where π is the inflation rate based on the consumer price index (CPI), m2 is broad money, r is the domestic interest rate proxied here by the lending rate, e is the nominal exchange rate in terms of U.S. dollars, Q is a seasonal dummy, and μ is an error term. A(L) F(L) are polynomials of the form A(L) = ΣαrLr, in which L is a lag operator such that Lixt = xt-1, α0 is a constant term, and ECM is the error-correction term. All data variables are quarterly time series and expressed in natural logarithm (with the exception of the interest rate). The sample period is 1984 Q1-1995 Q4.

The existence of transactions costs and information lags implies that there are delays in the adjustment of actual inflation to its long-run equilibrium level. Estimation of the dynamic relationship between money and inflation should therefore incorporate a disequilibrium adjustment mechanism. This study is based on an error-correction (ECM) approach. The ECM is derived from the optimizing response of individuals to past disequilibria and can be thought of as a more general intertemporal version of partial adjustment (Nickell (1985)). The ECM can provide an insight into both the short-run and the long-run determinants of inflation.

C. A Dynamic Econometric Model of Inflation in Ghana

1. Stationarity status of data variables and test for cointegration

Recent advances in time series econometric modeling have established that the stationarity status of data variables should be identified before running a regression model. A data variable is said to be stationary if the mean and variance are invariant to time. If the issue of nonstationarity is not addressed, empirical inferences, and the policy prescriptions that are drawn from them, may be invalid.

This section tests for the stationarity of the data set. In identifying the order of integration of each data variable, two unit roots tests are applied. The results of these unit roots tests are presented in Table III.6. From the unit roots tests, inflation can be identified as a stationary 1(0) series, while money (m2), the domestic interest rate, and the exchange rate are all nonstationary I(1) series. Table III.7 reports the seasonal unit roots tests of the data series and confirms that the four data variables are all seasonally stationary.

To test for the existence of a long-run equilibrium relationship between the four data variables, following Johansen and Juselius (1990), a vector autoregression (VAR) with a constant, a trend, and a full set of seasonal dummies was estimated. The results are reported in Table III.8. According to the matrix testing for the number of cointegrating vectors, there is clearly one significant cointegrating vector given by β’ in the eigenmatrix β’ and one marginally significant cointegrating vector represented by β’ 2.

The first cointegrating vector, or estimated equilibrium solution, indicates that in the long run, inflation in Ghana is positively related to money supply and the exchange rate and negatively related to the domestic interest rate. The second marginally significant equilibrium cointegrating vector is however not easy to identify. 1/ The first cointegrating vector therefore provide a basis for defining the disequilibrium adjustment term of our error-correction model (ECM).

2. An error-correction model of inflation

On the basis of the stationarity and cointegration analysis and adopting a general-to-specific modeling procedure, an inflation equation was estimated using the general dynamic error-correction model specified in equation (2). Throughout the modeling process various parameterizations of variables were considered, but the specification adopted and reported in this paper outperformed all other alternative specifications. The final inflation equation was estimated using the recursive ordinary least squares estimator (ROLS).

3. Economic interpretation of the error-correction model of inflation

The estimated inflation model presented in Table III.2 is in a stationary first difference vector autoregressive space. The estimated ECM of inflation is generally consistent with the theoretical model in (1). The ECM of inflation indicates that growth in money supply (m2) has no immediate impact effect on inflation in Ghana. However, according to the regression model, growth in money supply tends to translate into inflation between the first and second quarters, with the maximum effect coming in after the second quarter. The effect of money on inflation dissipates after three quarters. As expected, the sum of the lagged coefficients on money, which is an estimate of the long-run multiplier, sums to unity in the limit. Further econometric analysis through the recursively computed one-step Chow (1960) statistics indicates parameter constancy and model stability (at the 5 percent significance level) of the estimated inflation equation.

Table III. 2.The Estimated Nonexpectations Inflation Model in Ghana
VariableModel coefficient estimatesT-ratios
Constant0.02910.734
Interest rate change-0.0169-1.173
Broad money growth (current)0.10801.064
Broad money growth (first lag)0.23822.338**
Broad money growth (second lag)0.38463.716**
Broad money growth (third lag)0.16701.571
Broad money growth (fourth lag)0.18361.518
Error-correction term-0.0348-7.270**
Seasonality effect (Q1)0.09532.298**
Seasonality effect (Q2)0.10812.627**
Seasonality effect (Q3)0.03870.932
Diagnostics statistics
R-Squared0.5892
Durbin-Watson1.8020
Parameter constancy0.4811
Forecast Efficiency0.3502
Normality0.5344
Autocorrelation0.4603
Heteroscedasticity0.5915
Reset0.1204
Source: Staff estimates; * and ** denote significance at the 5 percent and 1 percent levels, respectively.
Source: Staff estimates; * and ** denote significance at the 5 percent and 1 percent levels, respectively.

Inflation Model

where A(L)…..F(L) are polynomials of the form A(L) = ΣαrLr, in which L is a lag operator such that Lixt = xt-1 and α0 a constant term.

(1) π is the inflation rate based on the consumer price index (CPI),

(2) m2 is broad money,

(3) r is the domestic interest rate proxied here by the lending rate,

(4) e is the nominal exchange rate in terms of U.S. dollars,

(5) ECM is the error-correction term,

(6) Q is a seasonal dummy, and n is an error term.

Based on the estimated model, interest rate or exchange rate movements in Ghana do not affect inflation significantly in the short run. Thus the results here are in accordance with the findings in Chhibber and Shafik (1992), which showed that there is no direct relationship between inflation and the official exchange rate in Ghana. They argued that short-run movements in the exchange rate could not explain the high and persistent inflation in Ghana. Nonetheless, our results show a significant relationship between inflation and the official exchange rate in the long run. Thus, it can be argued that in making short-run projections for inflation in Ghana, interest rates and exchange rate developments may be ignored, but in making long-range forecasts, both ought to be considered. From a policy perspective, this suggests that the stabilization of the value of the cedi should help to reduce the rate of inflation in the medium to long run. The estimated inflation model also indicates that seasonal factors do influence inflation in Ghana. Finally, the coefficient of the error-correction term in the inflation equation indicates that on average, actual inflation in Ghana adjusts to its underlying long-run equilibrium by 3.5 percent per quarter. This is quite low and underscores the fact that inflation was generally out of equilibrium in Ghana during the period of our study, 1984-95.

D. Incorporating Expectations in the Inflation Model

The above econometric analysis of inflation in Ghana has not incorporated the effects of inflationary expectations. In many countries, inflationary expectations quickly get embodied in interest rates and wage demands and they also affect spending behavior. From a more theoretical perspective, Lucas (1976) has argued that in situations where agents act rationally, then their behavior will necessarily change systematically with changes in the policy regime. Thus, any inference on economic behavior based on econometric models that do not explicitly model expectations effect will be prone to systematic predictive error. Previous empirical models of inflation in Ghana have not addressed the effects of inflation expectations.

1. Modeling expectations

The issue of modeling expectations in empirical work has generated considerable debate, and each method has its theoretical shortcomings as well as its econometric implications. Traditionally, inflation expectations can be modeled using the adaptive expectations operator. That is, expected inflation is specified as a weighted average of past inflation, and thus,

A theoretically more appealing expectations assumption is that of rational expectations (RE). Most expectations formation models either assume that complete learning is possible, as in the extreme version of rational expectations, or that no further learning is possible at all. However, here we assume rational expectations but incorporate learning into the RE model. Our learning process of inflation is denoted by L(π) and specified as thus,

where at the beginning of our sample period (t=t0), it is assumed that people in Ghana do not know much about the inflation expectations generator but that as time increases within our sample, Ghanaians improve on their learning process. Throughout the sample period, people in Ghana are assumed to be improving on their learning specification about inflation (n) and attain rational expectations (perfect foresight) after the ex ante forecast period. Thus our learning-adjusted rational expectations expected inflation proxy becomes E(π)t - f(L(π)t, πt. 1/

We shall embed both expectations proxies (adaptive and learning- adjusted rational expectations variables) as competing variables into our estimated econometric model of inflation for Ghana. We denote the adaptive expectations variable by AE(π) and the learning-adjusted rational expectation inflation variable by LRE(π). The incorporation of the inflationary expectations gave rise to an endogeneity problem in our model. To circumvent this problem, we moved away from recursive ordinary least squares (ROLS) to recursive instrumental variable (RIV) estimation. Augmenting our inflation model by the two specified expectations proxies above, and re- estimating the model using the recursive instrumental variable method yielded the inflation equations that are reported in Tables III.3 and III.4.

2. Interpretation of the estimated expectations models of inflation

In estimating our inflation equations by instrumental variable method, we had to choose instruments for the inflation expectations variables. In theory, the instrument set (It) should have no correlation with the composite disturbance term μt but have a reasonably high degree of correlation with the inflation expectations proxy. 1/ The pursuit of robustness in our inflation estimation produced {Δmt-1, Δmt-2, Δet, ECMt-2|It} as the optimal instrument vector set for the adaptive expectations inflation model (Table III.3) and {Δmt-2, Δmt-3, Δmt-4, Δet, ECMt-2|It} for the learning-adjusted rational expectations inflation model (Table III.4). 2/

Table III.3.The Estimated Adaptive Expectations Inflation Model in Ghana
VariableModel coefficient estimatesT-ratios
Constant0.02760.803
Interest rate change-0.0408-1.339
Broad money growth (current)0.11501.215
Broad money growth (first lag)0.24852.172**
Broad money growth (second lag)0.41133.845**
Broad money growth (third lag)0.15721.772
Broad money growth (fourth lag)0.19081.836
Expected inflation (adaptive)0.26732.038**
Error-correction term-0.0361-8.780**
Seasonality effect (Q1)0.09742.796**
Seasonality effect (Q2)0.08313.761**
Seasonality effect (Q3)0.04351.250
Diagnostics statistics
R-Squared0.6997
Durbin-Watson1.6620
Parameter constancy0.4010
Forecast Efficiency0.3105
Normality0.4873
Autocorrelation0.4411
Heteroscedasticity0.5102
Reset0.0931
Source: Staff estimates; * and ** denote significance at the 5 percent and 1 percent levels, respectively.
Source: Staff estimates; * and ** denote significance at the 5 percent and 1 percent levels, respectively.

General Inflation Model

where A(L)…..E(L) are polynomials of the form A(L) = ΣαrLr, in which L is a lag operator such that Lixt = xt-1 and α0 is a constant term.

(1) π is the inflation rate based on the consumer price index (CPI),

(2) m2 is broad money,

(3) r is the domestic interest rate proxied here by the lending rate,

(4) e is the nominal exchange rate in terms of U.S. dollars,

(5) ECM is the error-correction term,

(6) AE(π) is expected inflation proxied by adaptive expectations,

(6) Q is a seasonal dummy, and μ is an error term.

Table III.4.The Estimated Rational Expectations Inflation Model in Ghana
VariableModel coefficient estimatesT-ratios
Constant0.05291.593
Interest rate change-0.0245-0.992
Broad money growth (current)0.13781.300
Broad money growth (first lag)0.2458.2.364**
Broad money growth (second lag)0.47754.742**
Broad money growth (third lag)0.10711.438
Broad money growth (fourth lag)0.17711.601
Expected inflation (rational)0.61402.332**
Error-correction term-0.0317-7.320**
Seasonality effect (Q1)0.07372.098**
Seasonality effect (Q2)0.08392.547**
Seasonality effect (Q3)0.01340.412
Diagnostics statistics
R-Squared0.7439
Durbin-Watson1.9250
Parameter constancy0.3401
Forecast Efficiency0.2911
Normality0.4208
Autocorrelation0.3900
Heteroscedasticity0.4513
Reset0.0544
Source: Staff estimates; * and ** denote significance at the 5 percent and 1 percent levels, respectively.
Source: Staff estimates; * and ** denote significance at the 5 percent and 1 percent levels, respectively.

General Inflation Model

where A(L)…..E(L) are polynomials of the form A(L) = ΣαrLr, in which L is a lag operator such that Lixt = xt-1 and α0 is a constant term.

(1) π is the inflation rate based on the consumer price index (CPI),

(2) m2 is broad money,

(3) r is the domestic interest rate proxied here by the lending rate,

(4) e is the nominal exchange rate in terms of U.S. dollars,

(5) ECM is the error-correction term,

(6) LRE(π) is the learning-adjusted rational expectations inflation proxy,

(7) Q is a seasonal dummy, and μ is an error term.

Both expectations proxies are significant in the estimated inflation equation and improve the explanatory power of the model. However, the incorporation of the expectations variables does not drastically alter the broad conclusions reached with the non-expectations inflation model. According to our expectations models of inflation, money growth does not affect inflation contemporaneously but does so after a lagged period of one to two quarters. As in the non-expectations model of inflation, the maximum effect of excess money growth on inflation comes in after two quarters. However, we note that the learning-adjusted rational expectations variable dominates the adaptive expectations variable in our model in terms of both the relative significance in the model and the explanatory power, namely the resulting R2s. In general, the diagnostics of the estimated augmented learning-adjusted rational expectations inflation model is better than the adaptive expectations ECM of inflation (see Table III.9). Further comparative analysis (by non-nested encompassing tests reported in Table III.10) corroborates the dominance of the learning-adjusted rational expectations inflation model over the adaptive expectations model. This is not surprising given the incorporation of learning into our model in which we assumed that people in Ghana take time to fully understand the true inflation-generation process.

3. Forecast analysis of inflation

The within-sample forecast of inflation based on the expectations- augmented model of inflation is good. Actual and forecast inflation for 1995 with the standard error bounds, based on the dominant learning-adjusted rational expectations model, is reported in Chart III.2. As is evident from this chart, our dominant model projects a lower inflation than the actual throughout 1995, but the difference between the actual and forecast inflation narrows toward the end of the year. The ex ante inflation forecast analyses for 1996 based on the three estimated models are reported in Table III.5 and these indicate that on average, inflation in Ghana is unlikely to fall below 25 percent in 1996.

CHART III.2GHANA Inflation: Actual and Forecast for 1995 from the Estimated Error–correction Model 1/

Source: Staff estimates.

1/ Annualized rates.

Table III.5.Summary Statistics of the Ex ante Inflation Forecast for 1996 Based on the Estimated Inflation Equations 1/(In percent)
QuarterModel 1 2/Model 2 3/Model 3 4/
130.0032.0233.67
233.5736.0137.03
328.0030.9931.04
418.3419.1617.18
Mean27.4829.5529.73
Program Target25.0025.0025.00
Average forecast standard error±3.89±3.03±2.98
Source: Staff estimates.

The analysis is based on the Fund’s monetary projections profile for 1996. The program target for broad money supply growth rate is 5 percent.

Model 1 is the estimated nonexpectations inflation model.

Model 2 is the estimated adaptive expectations model of inflation.

Model 3 is the estimated learning-adjusted rational expectations model of inflation.

Source: Staff estimates.

The analysis is based on the Fund’s monetary projections profile for 1996. The program target for broad money supply growth rate is 5 percent.

Model 1 is the estimated nonexpectations inflation model.

Model 2 is the estimated adaptive expectations model of inflation.

Model 3 is the estimated learning-adjusted rational expectations model of inflation.

The econometric models analyzed above are not definitive. 1/ Moreover, we do not have output variable in the estimated inflation equations that are reported here and this precludes the examination of possible Phillips curve-type effects on inflation in Ghana. 2/ Further econometric analysis was carried out by restricting a trend variable in our estimated cointegrating space. However, this did not yield a meaningful inflation/money long-run solution. This suggests that total factor productivity or output in general may not be a significant determinant of inflation in Ghana. In fact, Bruno and Easterly (1994) find that inflation in the range of 40 percent and above per annum over a prolonged period has strong negative growth effects in Ghana. Thus the causation in any case appears to run from inflation to growth rather than the converse.

E. Conclusions

This paper has developed econometric models of inflation in Ghana, using a dynamic error-correction modeling approach. Both the estimated long-run and short-run dynamic inflation equations have produced coefficient estimates that underline the impact of money on inflation in Ghana.

The analysis in this paper has shown that growth in money supply does not immediately affect inflation in Ghana but gets translated into inflation between the subsequent one to two quarters, with the maximum impact effect coming in after two quarters. Thus, according to our regression analysis, inflation in Ghana seems to be largely a monetary phenomenon, but its effect is subject to variable lags. Second, there exists no direct immediate short-run impact effect of movements in the nominal exchange rate on the rate of inflation in Ghana. However, the models suggest that in the medium to long run the stabilization of the value of the cedi should be an important part of the anti-inflation policy in Ghana. Third, we find seasonal factors important in explaining inflation in Ghana. Finally, the estimated models here indicate that actual inflation has adjusted very slowly to its equilibrium level, and this underlines the fact that inflation in Ghana has generally been out of equilibrium over the years.

Embedding inflationary expectations in the estimated inflation model for Ghana improves its explanatory power. Thus expectations do seem to influence inflation in Ghana and policies directed at dampening inflationary expectations should indeed reduce the rate of inflation. Outside sample forecasts of inflation in Ghana based on the estimated models reported here, and assuming the staff money supply projected profile for 1996, indicate that on average, inflation is unlikely to fall below 25 percent in 1996.

In summary, the estimated models in this paper have clearly identified an empirical relationship between money and inflation, which supports a monetary explanation for the high rate of inflation in Ghana. The implication is that maintaining a tight monetary policy should be the key element in gradually bringing inflation under control.

Table III.6.Unit Roots Tests Results of the Individual Variables

(1984 Quarter 1-1995 Quarter 4) 1/

VARIABLEADF coefficientT-STATISTICLAGCRDW
π-0.3413-3.362**21.453**
Δπ-0.1754-5.702**32.233**
m2-0.1063-1.98150.423
Δm2-0.1307-3.508**11.707**
r-0.0256-1.57830.116
Δr-0.3439-3.1901**51.228**
e-0.5072-2.03460.233
Δe-0.1718-4.403**22.456**
Source: IMF, International Financial Statistics; staff estimates.
Source: IMF, International Financial Statistics; staff estimates.
Table III.7.Seasonal Unit Roots Tests Results of the Individual Variables

(1984 Quarter 1-1995 Quarter 4) 2/

VARIABLET-Statistic

(Null-I(1, 1))
T-Statistic

(Null-I(1, 2))
π-3.458**-4.032**
m2-4.065**-5.166**
r-4.449**-5.786**
e-2.982**-3.889**
Source: Staff estimates.
Source: Staff estimates.
Table III.8.The Johansen-Juselius VAR Cointegration Results 1/(1984 Quarter 1-1995 Quarter 4)
Diagnostics: Goodness of fit and evaluation statistics2/
[pm2reσ0.0110.0110.0150.013r(y,y^)0.9950..9980.9930.898]
[Fvar(65,36)1.23Fvhet(140,12)0.39χ2vnd(8)8.1]
The test statistics: (Testing the number of cointegrating vectors) 3/4/
[Testρ=0ρ1ρ2ρ3μi0.4870.4090.0860.058Trace5%CVμmax5%CV56.44**47.228.04*27.128.3929.722.1*21.06.2915.43.80314.12.4883.82.4883.8]
The eigenmatrix, β
[βpm2reconst11.001.04670.74320.31870.02123.4071.000.042.520.0057323.0613.121.0043.4511.3442.8761.4460.7641.004.821]
The adjustment coefficients a corresponding to the cointegrating space
[p0.03870.1675m20.09080.0029r0.03300.2234e0.07170.1519]
Source: Staff estimates.
Source: Staff estimates.
Table III.9.Competing Inflation Model Performance
Inflation

Equation
Equation

Std Error
Schwarz

Criterion 1/
Forecast

χ2(10)/10
Model 20.02920-6.860.31
Model 30.02754-6.070.29
Table III.10.Nonnested Encompassing Tests for Inflation Model 2 Versus 3
Model(2) vs. Model(3)Form Test FormModel(3) vs. Model(2)
-0.956N(0,1) Cox N(0,1)-0.813
-1.089N(0,1) Ericsson N(0,1)-0.7107
IV 2/
0.1832χ2(1) Sargan χ2(1)0.1848
0.0704F(1, 31) Joint F(1, 31)0.0566
[0.9130][1.134]
Source: Staff estimates.
Source: Staff estimates.
References

    AbbeyJ.L.S.Macroeconomic Review and Outlook - Executive Prognosis,Center for Economic and Policy Analysis (AccraGhana1996).

    BabaY.D.F.Hendry and R.M.StarrThe Demand for Ml in the U.S.: 1960- 1988,Review of Economic Studies Vol. 59 (1987) pp. 2561.

    BanerjeeA.J.J.DoladoJ.W.Galbraith and D.F.HendryCointegration, Error-Correction and the Analysis of Non-Stationarity DataOxford: Oxford University Press (1993).

    BanerjeeA.J.J.DoladoD.F.Hendry and G.W.SmithExploring Equilibrium Relationships in Econometrics Through Static Models: Some Monte Carlo Evidence,Oxford Bulletin of Economics and Statistics Vol. 48 [1986] pp. 253377.

    Bruno M. and W.EasterlyInflation Crises and Long-Run Growth,World Bank Draft Working Paper (Washington: The World Bank1994).

    CharemzaW.W. and D.F.DeadmanNew Directions in Econometric PracticeUniversity of Leicester.

    ChhibberA. and N.ShafikExchange Reform, Parallel Markets and Inflation in Africa: The Case of Ghana,World Bank Working Papers WPS 427 (1990).

    ChhibberA. and N.ShafikThe Inflationary Consequences of Devaluation with Parallel Markets: The case of Ghana,Mimeo (Washington: The World Bank1992).

    DickeyD.A. and W.A.FullerLikelihood Ratio Statistics for Autoregressive Time Series with a Unit Root,Econometrica Vol. 50 (1981) pp. 105772.

    EngleR.F. and C.W.JGrangerCointegration and Error Correction: Representation, Estimation and Testing,Econometrica Vol. 55 (1986) No. 2 pp. 251276.

    FischerS.The Role of Macroeconomic Factors in Growth,Journal of Monetary Economics Vol. 32 (1993) pp. 48583.

    FriedmanM.(1962). “The Interpolation of Time Series by Related Series,Journal of American Statistical Association (December1962).

    FriedmanM.A Theoretical Framework for Monetary Analysis,Journal of Political Economy Vol. 78 (1970) pp. 193238.

    HendryD.Econometric Modeling with Cointegrated Variables,Oxford Bulletin of Economics and Statistics Vol. 48 (1986) pp. 201212.

    HendryD. and J.A.DoornikPC-GIVE (7.00): An Interactive Econometric Modelling System Institute of Economics and Statistics (Oxford1994).

    HendryD.N.Ericsson and H.A.TranCointegration, Seasonality, Encompassing and the Demand for Money in the U.K.,Federal Reserve Board (Washington D.C.1992).

    JohansenS.Statistical Analysis of Cointegrated Vectors,Journal of Economic Dynamics and Control Vol. 12 (1988) pp. 23154.

    JohansenS. and K.JuseliusMaximum Likelihood Estimation and Inference on Cointegration- with application to Demand for Money,Oxford Bulletin of Economics and Statistics Vol. 52 (1990) pp. 169210.

    JohansenS. and K.JuseliusIdentification of the Long-run and Short-run Structure - An Application to the ISLM Model,Journal of Econometrics (forthcoming) [1995].

    JohnsonO.C.PazarbasiogluH.Fosgaard and P.HaywardMonetary Reforms to Enhance the Effectiveness of Monetary and Exchange Market Operations,Manuscript Monetary and Exchange Affairs Department (Washington: International Monetary Fund1964).

    KapurI.M.T.HadjimichaelP.HilbersJ.Schiff and P.SzymczakEmpirical Estimates of Inflation,” Appendix II in Ghana: Adjustment and Growth, 1983-91,IMF Occasional Paper No. 86 (Washington: International Monetary Fund1991.

    LucasR.E.Econometric Policy Evaluation: A Critique,” in The Phillips Curve and Labor Markets ed. K.Brunner and A.H.MeltzerAmsterdam: North Holland Publishing CompanyCarnergie Rochester Conference Series on Public Policy Vol. 1 (1976) pp. 1946.

    MaddalaS.[1977]. EconometricsSingapore: McGraw-Hill.

    NickellS.J.Error Correction, Partial Adjustment and All That: An Expository Note,Oxford Bulletin of Economics and Statistics Vol. 47 (1985) No. 2 pp. 119129.

    SowaN.K.“Policy Consistency and Inflation in Ghana” Unpublished manuscript Department of EconomicsUniversity of GhanaLegon [1992].

    SowaN.K. and J.K.Kwakye“Inflationary Trends and Control in Ghana” Unpublished manuscript Department of EconomicsUniversity of GhanaLegon [1991].

Statistical Annex
Table 1.Ghana: Gross Domestic Product by Sector, 1990–95
19901991199219931994 1/1995 2/
(In millions of cedis at current market prices)
Agriculture, forestry, and fishing972,3241,252,0251,461,0051,887,6332,217,4803,325,912
Agriculture and livestock(675,815)(873,493)(1,007,072)(1,307,127)(1,711,290)(2,382,250)
Cocoa(184,218)(244,603)(294,606)(367,259)(231,360)(524,363)
Forestry and logging(85,717)(99,986)(120,247)(161,910)(207,420)(316,239)
Fishing(26,573)(33,943)(39,080)(51,337)(67,410)(103,060)
Industrial production322,171411,812487,002631,843840,0831,245,986
Mining and quarrying(35,824)(45,587)(57,118)(75,031)(103,710)(131,809)
Manufacturing(187,524)(225,078)(261,538)(359,361)(466,716)(712,467)
Electricity, water, and gas(36,612)(51,951)(63,130)(71,082)(98,528)(146,288)
Construction(62,211)(89,195)(105,217)(126,369)(171,129)(255,422)
Services727,818908,3221,049,2631,409,8011,872,0462,984,938
Transport, storage, and
communications(89,417)(114,686)(132,272)(169,808)(228,172)(474,803)
Wholesale and retail trade 3/(385,809)(442,788)(550,132)(750,314)(995,660)(1,512,750)
Finance, insurance, real estate.
and business services(78,421)(107,392)(108,227)(150,063)(197,057)(292,073)
Public administration and
defense and other services(174,171)(243,457)(258,633)(339,616)(451,157)(705,312)
Less: Imputed bank charges26,64035,46242,59855,28672,600110,692
Plus: Import duties36,01338,07754,11175,03193,370131,023
Gross domestic product2,031,6862,574,7743,008,7833,949,0234,950,3797,577,167
(In millions of cedis at 1975 prices)
Agriculture, forestry, and fishing3,0593,2043,1833,2743,3583,500
Agriculture and livestock(2,131)(2,276)(2,232)(2,299)(2,305)(2,376)
Cocoa(466)(457)(467)(483)(553)(615)
Forestry and logging(350)(357)(369)(373)(380)(387)
Fishing(112)(114)(116)(119)(120)(122)
Industrial production9951,0321,0911,1381,1871,227
Mining and quarrying(90)(97)(107)(116)(122)(129)
Manufacturing(628)(635)(652)(667)(694)(706)
Electricity, water, and gas(91)(98)(110)(119)(125)(133)
Construction(185)(202)(222)(236)(246)(259)
Services2,9813,1673,4113,6503,8174,004
Transport, storage, and
communications(367)(403)(431)(455)(482)(503)
Wholesale and retail trade 3/(968)(1,060)(1,155)(1,249)(1,320)(1,406)
Finance, insurance, real estate.
and business services(628)(662)(690)(731)(778)(801)
Public administration and
defense and other services(1,018)(1,042)(1,135)(1,215)(1,237)(1,294)
Less: Imputed bank charges280287292300307313
Plus: Import duties99101105109117121
Gross domestic product6,8537,2177,4987,8718,1728,539
Memorandum items:(Annual percentage changes)
GDP deflator38.720.412.525.020.846.5
GDP at current market prices43.426.716.931.325.453.1
GDP at constant 1975 prices3.35.33.95.03.84.5
Per capita real GDP0.72.71.01.90.71.4
Sources: Statistical Service; and staff estimates.

Revised estimates.

Estimates.

Including restaurants and hotels.

Sources: Statistical Service; and staff estimates.

Revised estimates.

Estimates.

Including restaurants and hotels.

Table 2.Ghana: Gross Domestic Product by Expenditure Category, 1990-95
19901991199219931994 1/1995 2/
(In millions of cedis at constant 1975 prices)
Total consumption expenditure6,6006,8607,4397,1166,7857,864
Private sector(5,513)(5,713)(6,157)(5,684)(5,569)(6,466)
Central Government(1,087)(1,147)(1,282)(1,432)(1,216)(1,398)
Total investment expenditure8721,0038921,8782,2691,658
Gross fixed capital formation(869)(1,000)(889)(1,875)(2,266)(1,655)
Change in stocks(3)(3)(3)(3)(3)(3)
Gross domestic expenditure7,4727,8638,3318,9949,0549,522
Exports of goods and nonfactor services1,1021,2661,3471,3751,4051,757
Imports of goods and nonfactor services-1,720-1,912-2,179-2,498-2,287-2,740
Gross domestic product6,8537,2177,4987,8718,1728,539
Factor income paid abroad(net)-129-137-139-129-134-173
Gross national product6,7247,0797,3597,7428,0388,366
Consumption of fixed capital-399-417-452-521-490-513
National income (net)6,3256,6636,9077,2217,5487,853
Current transfers from abroad (net)485493486595540659
Gross national disposable income7,2097,5727,8458,3378,5779,025
Per capita GDP (in cedis)474487491501504511
(In millions of cedis at current market prices)
Total consumption expenditure1,911,2172,369,2122,947,1893,998,4264,761,9096,810,427
Private sector(1,689,237)(2,075,032)(2,547,112)(3,438,932)(4,208,440)(6,029,019)
(221,980)(294,180)(400,077)(559,494)(553,469)(781,408)
Total investment expenditure292,563409,389385,124584,456787,1101,409,353
Gross fixed capital formation(291,200)(407,819)(383,271)(581,025)(783,679)(1,405,922)
Change in stocks(1,363)(1,570)(1,853)(3,431)(3,431)(3,431)
Gross domestic expenditure2,203,7802,778,6013,332,3134,582,8825,549,0198,219,780
Exports of goods and nonfactor services312,592404,742482,853775,9851,314,5601,897,844
Imports of goods and nonfactor services-487,994-611,471-806,387-1,409,844-1,913,200-2,540,457
Statistical discrepancy3,3082,902---3,949----
Gross domestic product2,031,6862,574,7743,008,7833,949,0234,950,3797,577,167
Factor income paid abroad (net)-36,680-43,913-48,743-72,871-106,087-155,734
Gross national product1,995,0072,530,8612,960,0403,876,1524,844,2927,421,433
Consumption of fixed capital-110,700-130,984-156,345-230,291-259,287-335,958
National income (net)1,884,3062,399,8772,803,6913,645,8594,585,0057,085,475
Current transfers from abroad (net)137,581155,166205,612335,741451,324627,735
Gross national disposable income2,132,5882,686,0283,165,6524,211,8935,295,6168,049,168
Per capita GDP (in cedis)140,440173,587197,187251,200305,630453,874
Sources: Statistical Service; and staff estimates.

Revised estimates; reflects government accounts on commitment basis as of 1994 onwards.

Estimates.

Sources: Statistical Service; and staff estimates.

Revised estimates; reflects government accounts on commitment basis as of 1994 onwards.

Estimates.

Table 3.Ghana: Composition and Growth of Gross Domestic Product by Sector, 1990–95
19901991199219931994 1/1995 2/
(In percent of real GDP)
Agriculture, forestry, and fishing44.644.442.541.641.140.9
Agriculture and livestock(31.1)(31.5)(29.8)(29.2)(28.2)(27.8)
Cocoa(6.8)(6.3)(6.2)(6.1)(6.8)(7.2)
Forestry and logging(5.1)(4.9)(4.9)(4.7)(4.6)(4.5)
Fishing(1.6)(1.6)(1.5)(1.5)(1.5)(1.4)
Industrial production14.514.314.614.514.514.4
Mining and quarrying(1.3)(1.3)(1.4)(1.5)(1.5)(1.5)
Manufacturing(9.2)(8.8)(8.7)(8.5)(8.5)(8.3)
Electricity, water, and gas(1.3)(1.4)(1.5)(1.5)(1.5)(1.6)
Construction(2.7)(2.8)(3.0)(3.0)(3.0)(3.0)
Services43.543.945.546.446.747.0
Transport, storage, and
communications(5.4)(5.6)(5.8)(5.8)(5.9)(5.9)
Wholesale and retail trade(14.1)(14.7)(15.4)(15.9)(16.2)(16.5)
Finance, insurance, real estate,
and business services(9.2)(9.2)(9.2)(9.3)(9.5)(9.4)
Public administration and
defense and other services(14.8)(14.4)(15.1)(15.4)(15.1)(15.2)
Less: Imputed bank charges4.14.03.93.83.83.7
Plus: Import duties1.41.41.41.41.41.4
Gross domestic product100.0100.0100.0100.0100.0100.0
(Annual percentage changes in constant prices)
Agriculture, forestry, and fishing-2.04.7-0.62.82.74.3
Agriculture and livestock(-4.1)(6.8)(-1.9)(3.0)(0.9)(3.1)
Cocoa(3.0)(-2.0)(2.1)(3.5)(12.1)(11.2)
Forestry and logging(3.8)(2.1)(3.3)(1.2)(1.8)(2.0)
Fishing(2.4)(1.4)(2.0)(2.4)(1.2)(1.6)
Industrial production6.93.75.84.34.33.3
Mining and quarrying(6.4)(6.7)(10.4)(9.1)(5.1)(5.5)
Manufacturing(5.9)(1.1)(2.7)(2.2)(4.1)(1.8)
Electricity, water, and gas(14.6)(7.9)(12.0)(8.2)(5.3)(6.0)
Construction(7.3)(9.1)(10.1)(6.3)(4.2)(5.2)
Services7.96.37.77.04.64.9
Transport, storage, and
communications(12.2)(9.9)(7.0)(5.5)(6.1)(4.2)
Wholesale and retail trade(10.9)(9.4)(9.0)(8.2)(5.5)(6.5)
Finance, insurance, real estate,
and business services(7.3)(5.4)(4.2)(5.8)(4.0)(3.0)
Public administration and
defense and other services(4.2)(2.4)(8.9)(7.1)(4.8)(4.7)
Gross domestic product3.35.33.95.03.84.5
Sources: Statistical Service; and staff estimates.

Revised estimates.

Estimates.

Sources: Statistical Service; and staff estimates.

Revised estimates.

Estimates.

Table 4.Ghana: Composition and Growth of Gross Domestic Product by Expenditure Category, 1990-95
19901991199219931994 1/1995 2/
(In percent of nominal GDP)
Consumption94.192.098.0101.396.289.9
Private sector(83.1)(80.6)(84.7)(87.1)(85.0)(79.6)
Central Government(10.9)(11.4)(13.3)(14.2)(11.2)(10.3)
Gross investment14.415.912.814.815.918.6
Gross fixed investment14.315.812.714.715.818.6
Public sector(6.8)(7.7)(8.5)(10.5)(12.7)(13.3)
Central Government 3/(4.7)(5.6)(6.5)(8.1)(12.6)(13.1)
State enterprises 4/(2.1)(2.1)(1.9)(2.4)(0.2)(0.2)
Private sector(7.6)(8.2)(4.3)(4.3)(3.2)(5.3)
Change in stocks0.10.10.10.10.1--
Gross domestic expenditure108.5107.9110.8116.1112.1108.5
Exports of goods and nonfactor
services15.415.716.019.726.625.0
Imports of goods and nonfactor
services-24.0-23.7-26.8-35.7-38.6-33.5
Statistical discrepancy0.20.1---0.1-0.1--
Gross domestic product100.0100.0100.0100.0100.0100.0
(Annual percentage changes in constant prices)
Consumption13.53.98.4-4.3-4.615.9
Private sector(16.2)(3.6)(7.8)(-7.7)(-2.0)(17.3)
Central Government(1.5)(5.5)(11.8)(11.7)(15.1)(9.3)
Gross investment5.315.1-11.1110.620.8-26.9
Gross fixed investment5.115.1-11.1110.920.8-26.9
Public sector(-0.5)(17.6)(21.6)(126.1)(13.9)(34.4)
Private sector(10.6)(12.8)(-42.0)(80.7)(29.6)(113.1)
Gross domestic expenditure12.55.25.98.00.75.2
Exports of goods and
nonfactor services41.214.96.42.12.225.1
Imports of goods and
nonfactor services117.711.214.014.6-8.519.8
Gross domestic product3.35.33.95.03.84.5
Gross national product2.95.33.95.23.84.1
Gross national disposable income4.85.03.66.32.95.2
Sources: Statistical Service; and staff estimates

Revised estimates; reflects government accounts on commitment basis as of 1994 onwards.

Estimates.

Approximated by total central government capital expenditure, including capital outlays financed by external project aid.

Approximated by net lending to state enterprises by the Government; excluding investment financed by state enterprises’ savings and/or domestic borrowing, which is included in private investment.

Sources: Statistical Service; and staff estimates

Revised estimates; reflects government accounts on commitment basis as of 1994 onwards.

Estimates.

Approximated by total central government capital expenditure, including capital outlays financed by external project aid.

Approximated by net lending to state enterprises by the Government; excluding investment financed by state enterprises’ savings and/or domestic borrowing, which is included in private investment.

Table 5.Ghana: Cocoa Bean Production, Consumption, Prices, Payments to Farmers, and Export Receipts, 1984/85-1995/96
Oct. 1-

Sept. 30
ProductionConsumptionProducer

price 2/.
Payments

to cocoa

farmers
Export

receipts

(beans)
Main CropMidcropTotalDomestic 1/Export
(Thousands of metric tons)(Cedis per metric ton)(In millions of cedis)
1984/8516591742016230,000 3/

56,600 4/
5,47717,628
1985/86205142192519356,600 3/

85,500 4/
12,78640,225
1986/8721892272220585,500 3/

150,000 4/
21,59052,869
1987/881731518820168150,000 3/

165,000 4/
32,14966,600
1988/892901530020281165,000 3/

174,400 4/
49,594115,717
1989/902821329520275174,400 3/

224,000 4/
52,000105,000
1990/912613229320242224,000 3/

251,200 4/
66,502117,962
1991/922291324223254251,200 3/

258,000 4/
60,879131,089
1992/932624931130281258,000 3/

308,000 4/
67,915137,866
1993/94 5/2202024040200308,000 3/

700,000 4/
86,784243,805
1994/95 5/2603029030260700,000 3/

4/
205,500381,360
1995/96 5/3002032020300840,000 3/326,710432,520
Source: Cocoa Board.

Includes sales to processing companies; most of the processed products are then exported.

Including bonus payments until 1986/87, but excluding bonus payments thereafter.

Main crop.

Midcrop.

Estimates.

Source: Cocoa Board.

Includes sales to processing companies; most of the processed products are then exported.

Including bonus payments until 1986/87, but excluding bonus payments thereafter.

Main crop.

Midcrop.

Estimates.

Table 6.Ghana: Operations of the Cocoa Board (Cocoa Division), 1988/89-1995/96 1/
1988/891989/901990/911991/921992/931993/941994/951995/96
(Actual)(Budget)
(In millions of cedis)
Revenue119,753116,882134,560141,983168,302267,160486,713669,990
Exports108,409101,443119,522126,450137,866243,805396,587555,660
Local deliveries9,91515,10213,93815,22319,22016,34780,47992,336
Miscellaneous2712720631011,2167,0089,64721,994
Other1,158310894----------
Costs72,89884,105105,600109,848138,034147,451305,551468,572
Producer proceeds50,36052,00064,71462,03467,91586,784215,831326,706
Licensed buying agents14,48910,30313,87114,661--15,11654,57967,324
Freight1,8152,3432,4061,857--16,8627,20010,693
Finance costs 2/3,2923,7529,8928,57619,4495,0607,54214,032
Administration 3/2,3763,5833,80011,4064,6614,1082,2743,872
Other4/56612,12410,91711,31446,00919,52118,12545,945
Profits/Losses (-)
before taxes46,85532,77728,96032,13530,268119,709181,162201,418
Duties paid35,25117,60931,55220,61036,703122,999181,162201,418
Profits/Losses (-)
after taxes11,60415,168-2,59211,525-6,435-3,290----
(In thousands of metric tons)
Memorandum items:
Purchases300.0295.0287.9247.0312.0255.0309.0370
Shipments301.0295.0272.0262.0260.0283.0326.0370
Exports(281.0)(262.0)(242.5)(238.0)(231.0)(261.0)(256.0)(300.0)
Local deliveries(20.0)(33.0)(29.5)(24.0)(29.0)(22.0)(70.0)(70.0)
(In cedis per metric ton)
Value of exports385,797387,187492,874531,303596,823934,1191,549,1681,852,200
Value of local
deliveries495,750457,636472,475634,292662,759743,0451,149,7001,319,086
Average price received393,103422,412490,662604,177919,2651,463,3931,751,341
Producer proceeds167,866176,271224,779217,676340,329698,482882,989
Total costs243,003285,102366,794442,417578,239988,8381,266,411
Duties paid125,44859,692109,594141,165434,625555,712544,373
Source: Cocoa Board.

Crop year ending September 30.

Mainly discount charges on bills drawn to finance the purchases of cocoa, export duty, and operations of the Cocoa Board.

Includes provision for doubtful debts and depreciation. Includes all other Cocoa Board costs in 1992/93.

Includes outlays for produce inspection, research, construction of feeder roads, and subsidies for insecticides and spraying. Includes a provision of 8.5 billion cedis for retrenchment in 1993/94.

Source: Cocoa Board.

Crop year ending September 30.

Mainly discount charges on bills drawn to finance the purchases of cocoa, export duty, and operations of the Cocoa Board.

Includes provision for doubtful debts and depreciation. Includes all other Cocoa Board costs in 1992/93.

Includes outlays for produce inspection, research, construction of feeder roads, and subsidies for insecticides and spraying. Includes a provision of 8.5 billion cedis for retrenchment in 1993/94.

Table 7.Ghana: Production, Acreage, and Yield of Principal Food Crops, 1989-94
ProductionAcerageYield
198919901991199219931994198919901991199219931994198919901991199219931994
(In thousands of metric tons)(In thousands of hectares)(In metric tons per hectare)
Cassava3,3202,7175,7025,6625,9725,7794153235355525325408.008.4110.6610.2611.2310.70
Plantain1,0407991,1781,0821,3221,1941641291741571641656.346.196.776.898.067.24
Cocoyams1,2008151,2971,2021,2361,2452071192031961731915.806.856.396.137.146.52
Yams1,2808772,6322,3312,7202,5612171422272242072195.906.1811.5910.4113.1411.69
Maize7155539327319618755674656106076376181.261.191.531.201.511.42
Guinea com2151362412593282762862152633073092930.750.630.920.841.060.94
Millet180751121331981482441242092102042080.740.600.540.630.970.71
Rice74811511321571477249958077841.031.651.591.652.041.75
Source: Statistical Service, Quarterly Digest of Statistics.
Source: Statistical Service, Quarterly Digest of Statistics.
Table 8.Ghana: Production, Acreage, and Yield of Principal Food Crops, 1989-94
1988198919901991199219931994
(In thousands of cubic meters)
Logs1.1809961.2901.2291.318
Exports330201155215161496572
Sawmill intake620652903924916
Veneer/plywood intake1201431852131
Unrecorded uses and
changes in stocks110--4769210
Sawn timber400537632578549
Exports170154202183232238259
Local sales130212310202200
Own use401015----
Unrecorded uses and changes
in stocks60161105193117
Veneer605271
Exports2115172535
Local sales1066
Own use222745
Changes in stocks843
Plywood222129
Exports11221
Local sales181926….
Changes in stocks311
Sources: Statistical Service; and Ministry of Lands and Natural Resources.
Sources: Statistical Service; and Ministry of Lands and Natural Resources.
Table 9.Ghana: Domestic Fish Catch and Imports, 1989-94
198919901991199219931994
(In thousands of metric meters)
Total domestic marine
catch 1/289319290371319287
Volta Lake catch464645454042
Other inland catch121212121212
Landings from foreign vessels
on contract------------
Imports of fish and fish
products 2/2323333719
Total fish supply370400350431408360
(In millions of cedis)
Total domestic marine
catch 1/91,941112,984122,536192,755236,461295,447
Volta Lake catch19,00024,38028,53035,08940,00063,000
Other inland catch4,8006,3607,5609,3571,20018,000
Landings from foreign vessels
on contract------------
Imports of fish and fish
products 2/1,000--48,3057,22110,5158,641
Value of total fish
supply 3/116,741143,724153,304244,422298,976385,088
Source: Ministry of Agriculture.

Excluding fish caught by foreign vessels.

Mostly frozen fish.

Value of total fish supply 1990 excludes value of fish imports.

Source: Ministry of Agriculture.

Excluding fish caught by foreign vessels.

Mostly frozen fish.

Value of total fish supply 1990 excludes value of fish imports.

Table 10.Ghana: Mineral Production, 1987-94
19871988198919901991199219931994 1/
(In millions of cedis)
Value of output
Gold21,840.733,298.743,838.866,576.276,865.4205,786.3265,606.6359,160.6
Diamonds609.9502.2919.31,076.14,658.38,498.03,389.110,040.5
Manganese1,286.51,448.43,708.66,616.39,333.512,811.010,185.111,251.1
Bauxite689.51,337.12,286.73,366.66,050.29,000.58,968.78,750.6
(In units specified)
Volume
Gold (’000 kg)10.211.613.216.526.131.438.642.6
Diamonds (’000 carats)441.9215.8171.1150.4419.4584.5222.0371.1
Manganese (’000 metric tons)253.6230.9334.2364.0415.2477.7361.7294.2
Bauxite (’000 metric tons)195.0287.3347.1382.1485.1498.1482.5420.3
(In cedis per unit)
Unit values
Gold (gram)2,1412,8703,3214,0355,3886,5546,8818,431
Diamonds (carat)1,5372,3275,3738,48511,10714,53915,26627,056
Manganese (metric ton)5,0736,27311,09718,17722,47726,81828,15938,243
Bauxite (metric ton)3,5364,6546,5888,81112,47217,65518,58820,820
Sources: Statistical Service; and staff estimates.

Estimates.

Sources: Statistical Service; and staff estimates.

Estimates.

Table 11.Ghana: Index of Manufacturing Production, 1988-94(1977 = 100)
Weights1988198919901991199219931994 1/
Food products15.0053.648.057.559.362.890.390.8
Beverages8.1189.098.094.093.0112.2105.5109.4
Tobacco and tobacco products7.7558.051.057.149.647.152.253.0
Textiles, wearing apparel,
and leather goods13.7128.724.037.739.123.760.248.0
Sawmill and wood products7.2298.379.974.2133.6120.291.998.2
Paper products and printing1.9452.848.053.549.354.633.747.1
Petroleum products19.0067.787.270.592.265.065.894.4
Chemical products other than
petroleum6.5667.562.957.644.756.738.4129.8
Cement and other nonmetallic
mineral products2.9873.4100.0117.3125.6177.0206.2217.0
Iron and steel products3.2518.312.05.2356.0392.8541.7
Nonferrous metal basic
industries9.6297.3100.5103.8104.6115.8109.988.8
Cutlery and other nonferrous
metal products0.4946.247.955.263.283.399.9124.0
Electrical equipment and
appliances1.3447.113.525.540.046.352.629.8
Transport equipment and other
products3.0311.012.211.6
Overall index100.0062.163.063.571.376.987.3101.2
Memorandum items:
Percentage change in
overall index9.31.40.812.37.913.515.9
Average capacity utilization
(in percent) 2/40.040.639.840.544.545.7
Sources: Statistical Service, Quarterly Digest of Statistics.

Provisional.

For large and medium-scale factories.

Sources: Statistical Service, Quarterly Digest of Statistics.

Provisional.

For large and medium-scale factories.

Table 12.Ghana: Generation and Consumption of Electricity, 1987-94(In billions of kilowatt-hours)
19871988198919901991199219931994
Electricity generation4,6924,8975,3215,7316,1166,6036,3126,105
Akosombo3,8813,9964,3834,8275,1505,5665,2805,128
Kpong7968118478939591,0361,011947
Other 1/15909011712130
Electricity consumption4,5784,7825,1165,5375,7686,1886,1976,004
Electricity Corporation
of Ghana1,2651,3191,4631,6271,7532,0212,2912,466
Mines284297300315408419469590
Volta Aluminum Company2,4752,7452,7882,7892,7952,8542,8222,275
Exports526387526761808894395448
Other 2/283439454--220225
Source: Ministry of Fuel and Power.

Including amounts generated by diesel units operated by the Electricity Corporation of Ghana and mining companies.

Refers to Akosombo Township, Akosombo Textiles, and Aluworks and NED (1993 only).

Source: Ministry of Fuel and Power.

Including amounts generated by diesel units operated by the Electricity Corporation of Ghana and mining companies.

Refers to Akosombo Township, Akosombo Textiles, and Aluworks and NED (1993 only).

Table 13.Ghana: Savings and Investment, 1990-95
19901991199219931994 1/1995 2/
(In millions of cedis at current market prices)
Gross national product1,995,0062,530,8612,960,0363,876,1514,844,2927,421,433
Net transfers from abroad137,581155,166205,612335,741451,324627,735
Gross national disposal income2,132,5862,686,0273,165,6484,211,8915,295,6168,049,168
Total consumption1,911,2172,369,2122,947,1893,998,4264,761,9096,810,427
Gross national savings 3/221,370316,815218,459213,465533,7071,238,741
Of which: domestically generated 4/(161,271)(236,115)(124,263)(47,218)(341,622)(926,793)
Private savings 5/127,988159,515196,88385,46788,173670,453
Government savings 6/93,383157,30021,575127,999445,534568,288
Gross investment292,563409,389385,124584,455787,1101,409,353
Public investment138,543198,258254,869414,228630,2591,010,800
Central Government 7/95,299145,195196,792318,244622,000995,000
State enterprises 8/43,24453,06358,07795,9848,25915,800
Private investment 9/154,020211,131130,255170,227156,851398,553
Statistical discrepancy----2,2748,254-96480
Public sector financial balance-45,160-40,958-233,294-286,229-184.725-442,512
Government savings 6/93,383157,30021,575127,999445,534568,288
Public investment138,543198,258254,869414,228630,2591,010,800
Private sector financial balance-26,032-51,61668,902-76,506-68,774272,381
Private savings (including
statistical discrepancy)5/127,988159,515199,15793,72188,077670,934
Private investment154,020211,131130,255170,227156,851398,553
External current account balance-71,192-92,574-164,372-362,735-253,499-170,132
(In percent of GDP)
Gross national disposable income105.0104.3105.2106.7107.0106.2
Total consumption94.192.098.0101.396.289.9
Gross national savings 10/10.912.37.35.610.816.4
Of which: domestically generated 4/(7.9)(9.2)(4.2)(1.4)(6.9)(12.2)
Gross investment14.415.912.814.815.918.6
Statistical discrepancy----0.10.2----
Public sector financial balance-2.2-1.6-7.8-7.2-3.7-5.8
Government savings 6/4.66.10.73.29.07.5
Public investment6.87.78.510.512.713.3
Private sector financial balance-1.3-2.02.3-1.9-1.53.5
Private savings (including statistical
discrepancy) 5/6.36.26.62.41.78.8
Private investment7.68.24.34.33.25.3
External current account deficit-3.5-3.6-5.5-9.2-5.1 --2.2
Sources: Statistical Service; and staff estimates.

Revised estimates; reflects government accounts on commitment basis as of 1994 onwards.

Estimates.

Defined as gross national disposable income minus total consumption.

Gross national savings excluding external official transfers.

Including savings by state enterprises.

Approximated by the difference between total government revenue and grants, and current expenditure and special efficiency.

Approximated by total government capital expenditure, including outlays financed by external project aid. Data compiled on cash basis until 1993; and on commitment basis for 1994-95.

Approximated by the net lending by the Government, excluding investment financed by state enterprises’ savings and/or domestic borrowing.

Derived as a residual.

Gross national savings adjusted for statistical discrepancy.

Sources: Statistical Service; and staff estimates.

Revised estimates; reflects government accounts on commitment basis as of 1994 onwards.

Estimates.

Defined as gross national disposable income minus total consumption.

Gross national savings excluding external official transfers.

Including savings by state enterprises.

Approximated by the difference between total government revenue and grants, and current expenditure and special efficiency.

Approximated by total government capital expenditure, including outlays financed by external project aid. Data compiled on cash basis until 1993; and on commitment basis for 1994-95.

Approximated by the net lending by the Government, excluding investment financed by state enterprises’ savings and/or domestic borrowing.

Derived as a residual.

Gross national savings adjusted for statistical discrepancy.

Table 14.Ghana: Average Monthly Earnings per Employee, 1976-96 1/(Cedis per month)
All

sectors
Agriculture,

forestry,

and fishing
Mining

and

quarrying
ManufacturingConstructionCommerceTransport,

storage, and

communications
Finance

insurance,

etc.
Minimum

wage 2/
(Private sector)
197613179158125912201982.00
19772321531522091404343542293.00
19782921941813131693623472524.00
19793692371853742025613603224.00
19805814166765675528036035165.33
198167268378571395564712.00
19828687341,6168415331,19799994912.00
19831,3011,1731,6431,3458421,5291,70196225.00 3/
19843,2802,9734,0743,9401,6152,9582,6712,60235.00 4/
19854,7023,2645,9945,5353,0324,7816,5097,33170.00 5/
19867,9565,4546,4808,4534,9708,24011,84615,17990.00
198715,3108,7498,50615,8597,27312,10412,93017,352112.50
198818,66013,31714,43321,7558,50217,81122,17022,131146.25
198935,35619,07722,48843,06712,56721,69541,46658,497170.00
199039,56623,09427,34051,48218,76628,48536,12163,985218.00
199137,17418,30839,49031,65930,16729,76260,636100,761460.00 6/
1992460.00 6/
(Public sector)
19761097113112278972401172.00
19772121552962931582131912383.00
19782151713062291882512382324.00
19792691823743112222603162774.00
19804413326125273284175304525.33
198157949086263151648161455712.00
198260754386370951857771457012.00
19831,0718332,2141,2568918591,01492825.00 3/
19842,1222,1993,3542,3991,5641,4052,3022,08035.00 4/
19853,4612,67510,5344,1082,4742,6893,5034,25470.00 5/
19867,3335,78712,0249,5205,1095,39510,3127,59790.00
19879,3248,26917,20015,5056,9239,52813,639112.50
198812,73810,37911,33120,0478,83612,39317,80219,098146.25
198921,86920,52716,74217,57314,09020,32123,57937,256 7/170.00
199028,03720,79838,82722,26619,40623,60532,21130,484 7/218.00
199134,82639,56526,76044,80423,25030,49037,25545,107460.00 6/
1992460.00 6
(Total economy)
19842,2872,2983,3703,4411,5731,8432,32133.96 4/
19853,6332,75310,4715,0592,6023,3483,6314,54870.00 5/
19867,4335,74011,9208,7875,0766,20010,4088,42290.00
198710,5247,95517,01715,2166,8829,48313,877112.50
198813,80510,59411,52321,41113,46513,92317,94819,374146.25
198924,25719,60817,17736,79313,87920,85726,01343,068170.00
199030,05620,94838,02845,04519,18325,37532,56033,650218.00
199135,21239,23127,41734,22625,73830,68939,11950,016460.00 6/
1992460.00 6/
1993790.00
19941200.00
19951200.00
19961700.00 8/
Source: Statistical Service.

December data for the year indicated.

Cedis per day.

From April 1983.

From April 1984.

From December 1984.

From July 1991.

Excludes allowances and other regularly paid bonuses and honoraria.

From May 1996.

Source: Statistical Service.

December data for the year indicated.

Cedis per day.

From April 1983.

From April 1984.

From December 1984.

From July 1991.

Excludes allowances and other regularly paid bonuses and honoraria.

From May 1996.

Table 15.Ghana: National Consumer Index, 1985-95(Monthly averages; 1977 - 100)
Overall

index
FoodNonfoodBeverages

and

tobacco
Clothing

and

footwear
Rent,

fuel,

and power
Furnishings 1/Medical

care and

health
Transport

and communications
Recreation 2/Miscellaneous 3/
(100.0)(49.2)(50.8)(6.2)(19.2)(6.8)(5.1)(1.8)(4.3)(5.5)(1.9)
19853,647.22,717.74,547.44,801.54,643.73,372.85,404.04,100.24,741.54,435.34,987.1
19864,543.13,268.85,777.36,369.45,732.64,807.36,829.04,754.56,364.65,317.05,917.2
19876,352.04,527.18,119.48,826.88,373.76,740.69,703.95,908.98,551.87,253.97,543.9
19888,343.96,071.010,545.211,478.510,884.09,134.512,327.17,519.211,163.09,038.910,170.9
198910,449.37,593.813,214.914,619.413,469.111,421.715,034.98,580.314,551.512,015.612,433.7
199014,341.510,643.817,922.819,342.517,422.517,284.919,861.411,663.721,778.116,647.816,231.4
199116,927.411,599.122,088.022,215.720,135.724,940.422,559.114,684.230,827.521,731.518,585.1
199218,629.812,800.424,275.623,486.121,875.430,069.023,869.115,627.331,500.525,185.920,747.9
199323,279.715,994.630,335.429,151.325,733.439,397.729,445.617,242.642,024.833,829.626,517.8
199429,069.520,160.537,697.835,994.032,586.946,084.137,624.719,582.649,862.045,666.932,432.3
199546,354.632,660.959,617.155,025.052,277.167,336.757,613.325,778.983,463.179,041.548,387.5
1994
Q126,278.517,733.634,554.332,944.129,011.543,592.033,648.218,908.347,325.942,546.829,998.2
Q227,966.719,249.636,409.234,869.031,057.545,305.036,167.919,317.549,302.343,267.131,481.2
Q329,756.020,809.038,421.236,803.833,560.546,411.838,570.419,749.850,331.045,900.732,902.8
Q432,276.622,849.741,406.639,358.836,718.149,027.442,112.320,354.852,488.950,953.135,347.0
1995
Q136,591.825,506.647,327.843,641.040,839.455,423.745,625.621,721.064,332.363,759.838,729.1
Q243,642.730,404.856,463.651,943.048,820.066,290.054,105.423,991.480,523.873,719.545,976.1
Q350,286.935,978.064,144.858,612.856,171.070,098.561,917.227,791.492,243.986,875.852,495.1
Q454,897.238,754.370,532.265,903.163,278.077,534.468,804.729,611.796,752.591,810.756,249.7
Sources: Statistical Services; and staff estimates.

Including furniture, furnishings, and household equipment and operations.

Including recreation, entertainment, education, and cultural services.

Including miscellaneous goods and services.

Sources: Statistical Services; and staff estimates.

Including furniture, furnishings, and household equipment and operations.

Including recreation, entertainment, education, and cultural services.

Including miscellaneous goods and services.

Table 16.Ghana: National Consumer Index, 1985-95(Percentage changes from the previous period)
Overall

index
FoodNonfoodBeverages

and

tobacco
Clothing

and

footwear
Rent,

fuel,

and power
Furnishings 1/Medical

care and

health
Transport

and communications
Recreation 2/Miscellaneous 3/
(100.0)(49.2)(50.8)(6.2)(19.2)(6.8)(5.1)(1.8)(4.3)(5.5)(1.9)
198510.4-11.929.322.928.87.313.430.453.966.727.2
198624.620.327.032.723.442.526.416.034.219.918.6
198739.838.540.538.646.140.242.124.334.436.427.5
198831.434.129.930.030.035.527.027.330.524.634.8
198925.225.125.327.423.825.022.014.130.432.922.2
199037.240.235.632.329.451.332.135.949.738.630.5
199118.09.023.214.915.644.313.625.941.630.514.5
199210.110.49.95.78.620.65.86.42.215.911.6
199325.025.025.024.117.631.023.410.333.434.327.8
199424.926.024.323.526.617.027.813.618.635.022.3
199559.562.258.152.960.546.153.131.667.473.149.2
1994
Q17.36.57.76.56.36.17.97.19.515.05.3
Q26.48.55.45.87.13.97.52.24.21.74.9
Q36.48.15.55.58.12.46.62.22.16.14.5
Q48.59.87.86.99.45.69.23.14.311.07.4
1995
Q113.412.114.110.911.230.88.36.722.625.19.6
Q219.319.219.319.019.519.618.610.525.215.618.7
Q315.218.313.612.815.15.714.415.814.617.814.2
Q49.27.710.012.412.710.611.16.54.95.77.3
Sources: Statistical Services; and staff estimates.

Including furniture, furnishings, and household equipment and operations.

Including recreation, entertainment, education, and cultural services.

Including miscellaneous goods and services.

Sources: Statistical Services; and staff estimates.

Including furniture, furnishings, and household equipment and operations.

Including recreation, entertainment, education, and cultural services.

Including miscellaneous goods and services.

Table 17.Ghana: National Consumer Price Index, 1987-95(Year-on-year percentage changes)
Overall

index
FoodNonfoodBeverages

and

tobacco
Clothing

and

footwear
Rent,

fuel,

and power
Furnishings 1/Medical

care and

health
Transport

and communications
Recreation 2/Miscellaneous 3/
(100.0)(49.2)(50.8)(6.2)(19.2)(6.8)(5.1)(1.8)(4.3)(5.5)(1.9)
198734.235.733.432.933.533.529.929.936.637.230.2
198826.626.526.626.826.432.122.621.724.926.630.4
198930.531.929.734.928.331.628.416.327.833.526.8
199035.932.038.124.224.958.226.939.389.456.024.0
199110.34.613.310.311.033.78.318.511.26.811.4
199213.317.011.58.29.016.08.15.83.929.413.6
199327.726.228.428.223.832.928.811.634.930.634.0
199434.241.430.628.736.421.636.617.222.840.225.9
199570.867.272.671.478.056.164.047.286.682.560.5
1994
January22.822.622.923.620.518.424.515.916.246.027.8
February22.020.622.722.120.217.222.312.719.543.325.9
March21.518.723.021.121.317.321.714.120.643.524.7
April21.118.922.220.321.016.921.612.618.442.820.2
May21.018.822.219.922.414.324.812.316.842.619.8
June20.920.321.222.225.115.825.512.515.821.619.4
July22.324.121.421.626.615.026.013.116.220.219.4
August23.726.022.523.727.315.528.914.217.420.520.0
September26.128.624.824.428.615.130.39.718.634.219.2
October29.433.227.525.732.917.133.313.719.935.922.2
November31.736.829.127.434.319.235.314.921.436.924.1
December34.241.430.628.736.421.636.617.222.840.225.9
1995
January35.641.132.830.038.521.033.812.920.746.326.3
February38.443.835.731.840.222.934.814.615.449.828.8
March43.646.542.135.643.437.238.017.149.853.532.4
April49.951.948.942.850.542.642.820.657.560.539.8
May56.157.855.249.657.047.548.324.062.065.346.1
June61.963.860.857.063.748.857.327.970.376.452.0
July67.270.665.459.163.949.958.136.979.893.760.3
August69.972.967.559.168.350.662.141.364.897.259.2
September69.875.068.759.669.852.561.443.885.378.359.1
October69.173.066.262.467.356.261.147.484.878.557.3
November70.270.369.365.971.362.264.941.575.879.659.6
December70.865.872.671.478.056.164.047.286.682.560.5
Sources: Statistical Service; and staff estimates.

Including furniture, furnishings, and household equipment and operations.

Including recreation, entertainment, education, and cultural services.

Including miscellaneous goods and services.

Sources: Statistical Service; and staff estimates.

Including furniture, furnishings, and household equipment and operations.

Including recreation, entertainment, education, and cultural services.

Including miscellaneous goods and services.

Table 18.Ghana: Index of Wholesale Prices 1985-90
Weights198519861987198819891990
Monthly averages: 1977-100)
Agriculture, forestry, and fishing55.03,514.46,425.69,824.712,038.016,033.420,544.8
Agricultural and livestock products41.73,117.95,014.67,077.49,665.111,135.912,976.3
Forestry and logging products10.04,288.211,445.120,959.626,028.735,468.651,682.4
Fish3.36,383.78,832.210,906.413,342.619,345.221,825.4
Mining and quarrying products1.65,854.58,210.912,510.019,388.129,965.039,057.6
Manufactures41.46,161.89,157.111,935.816,125.020,508.127,733.6
Food, beverages, and tobacco14.75,344.58,539.611,680.514,735.719,867.926,102.9
Textiles, wearing apparel, and
leather products7.37,124.99,589.412,599.919,091.624,126.827,196.2
Wood and wood products, including
furniture0.43,072.93,838.33,469.83,927.45,097.68,904.7
Chemicals and chemical, petroleum,
coal, rubber, and plastic products9.06,497.79,967.312,247.616,332.020,247.131,030.6
Nonmetallic mineral products, except
products of petroleum and coal1.87,830.012,185.819,392.024,499.329,513.242,503.4
Basic metal products3.89,772.812,675.914,748.619,763.024,418.340,265.3
Fabricated metal products, machinery,
and equipment4.42,643.88,046.86,184.39,546.911,524.712,407.7
Electricity, gas, and water2.04,389.67,781.38,528.712,637.717,707.917,707.9
Overall index100.04,624.97,564.010,692.014,405.418,084.523,747.0
(Annual percentage changes)
Agriculture, forestry, and fishing31.482.852.922.533.228.1
Mining and quarrying products181.740.252.455.054.630.3
Manufactures82.848.630.335.127.235.2
Electricity, gas, and water38.977.39.648.240.1
Overall index56.363.541.434.725.531.3
Source: Central Bureau of Statistics.
Source: Central Bureau of Statistics.
Table 19.Ghana: Average Wholesale Prices of Selected Agricultural Commodities, 1987-95(In cedis per unit)
Unit of

measurement
198719881989199019911992199319941995
Maize100 kg.5,3716,8165,4248,6339,43410,04811,93813,86322,828
Millet93 kg.5,8579,50210,63310,95614,36214,63217,06018,35730,068
Guinea com109 kg.5,7387,4349,41510,60313,40414,54417,16917,91829,474
Rice100 kg.10,47510,76718,13218,50319,27721,17926,97035,16454,807
Yams100 tubers13,82018,02323,66830,10229,46929,07043,58253,31076,990
Cocoyams91 kg.4,4062,4065,3547,9847,6809,11711,72516,01726,260
Cassava91 kg.3,5954,6742,5104,2744,0004,0485,3425,7339,463
Plantain16 kg.4694966981,1098871,0691,6981,9404,204
Cowpeas109 kg.10,02314,99217,73420,47923,05921,86130,98835,99146,513
Tomatoes51 kg.3,2492,6624,9346,96911,15013,38024,35214,57525,514
Groundnuts82 kg.10,49512,05616,27517,20520,67025,97333,11434,57654,409
Source: Ministry of Agriculture.
Source: Ministry of Agriculture.
Table 20.Ghana: Retail Prices of Major Petroleum Products, December 1979-February 1996

(In cedis per liter) 4/

Date of Price

Change
Premium

gasoline
Regular

gasoline
KeroseneGas oilATK 1/RFO 2/LPG 3/
December 1, 19791.651.540.77
November 6, 19802.312.201.101.320.18
January 15, 19812.492.271.211.430.18
September 7, 19812.712.491.871.100.18
October 1, 19822.712.491.101.871.280.710.18
April 22, 19835.504.732.903.503.633.020.37
October 11, 19837.706.714.405.285.773.130.57
September 13,198413.2012.327.7010.129.905.901.58
October 5, 198418.7017.6010.1215.4014.309.352.06
April 19, 198520.9019.8011.0017.6015.7610.302.23
September 9, 198523.1022.0012.1018.7017.6010.301.39
January 16, 198633.0031.9019.8028.6026.4016.503.33
March 20, 198630.8029.7017.6025.3025.3014.303.33
June 30, 198633.0031.9017.6028.6026.4014.303.33
February 1, 198741.7939.6024.2036.3037.4026.404.40
January 16, 198851.6950.5937.4049.4948.3929.926.60
January 13, 198960.6059.5041.8055.1088.18
January 11, 199079.3059.4072.7075.05100.00
March 31, 199088.1066.0081.4067.13100.00
September 2, 1990133.00100.00111.0093.48100.00
November 3, 1990222.00178.00189.00180.38100.00
January 3, 1991222.00178.00189.00180.38100.00
March 29, 1991200.00156.00166.00139.32100.00
February 3, 1992200.00156.00166.00139.32100.00
September 19, 1992222.00156.00188.00161.32100.00
January 6, 1993355.00250.00302.00258.00120.00
January 17, 1994422.00275.00360.00200.00
February 2, 1995522.00333.00450.00162.86275.86
February 2, 1996621.50397.00567.00200.52344.00
Source: Ministry of Fuel and Power.

Aviation turbine kerosene.

Residual fuel oil.

Liquefied petroleum gas.

Except LPG, which is in cedis/kg.

Source: Ministry of Fuel and Power.

Aviation turbine kerosene.

Residual fuel oil.

Liquefied petroleum gas.

Except LPG, which is in cedis/kg.

Table 21.Ghana: Central Government Operations and Financing, 1989-95
1989199019911992199319941995

Prov.
Narrow coverage 1/
Total revenue and grants214.5267.3390.6366.3724.21,280.61,784.6
Revenue193.2239.5354.4333.6657.61,231.11,690.8
Taxes on income and property45.955.162.462.1110.3170.5275.0
Taxes on international transactions76.592.8119.2110.9176.0361.6500.0
Taxes on domestic goods and services52.171.7137.9128.8222.9309.0363.6
Nontax revenue18.619.834.931.7148.4389.9552.3
Foreign grants21.327.836.332.766.649.593.8
Total expenditure and net lending 2/204.2264.0351.6510.7821.61,156.81,713.7
Recurrent expenditure148.6198.2263.7373.3643.5896.91,270.0
Wages and salaries62.982.3105.6171.1227.6297.1431.0
Interest18.727.342.861.0134.8230.3328.8
Other goods and services35.845.060.569.2141.2201.2240.8
Subsidies and transfers 3/31.243.654.871.9139.9168.1269.3
Capital expenditure and net lending45.957.878.6110.3127.3195.9392.3
Capital expenditure38.248.367.298.4119.3187.7376.5
Net lending7.79.511.411.98.08.315.8
Special efficiency 4/9.68.09.327.150.864.051.4
Surplus or deficit (-)
Including foreign grants10.43.439.0–144.4–97.3123.870.9
Excluding foreign grants–11.0–24.52.7– 177.1–164.074.3–22.9
Financing–10.4–3.4–39.0144.497.3–123.8–70.9
Foreign (net)4.924.612.70.352.0–85.0–42.6
Borrowing54.258.352.043.1118.030.0151.6
Repayments–49.2–33.7–39.3–42.8–66.1–115.0–194.2
Domestic (net)–15.3–28.0–51.7144.245.4–38.8–28.3
Banking system–21.4–20.8–50.7102.5–22.1–44.3–66.5
Social security–2.53.8--13.8–18.3----
Financial sector reform 5/--–16.5–5.33.8------
Other8.75.64.224.085.85.538.2
Total revenue and grants15.113.215.212.218.325.923.6
Of which: revenue(13.6)(11.8)(13.8)(11.1)(16.7)(24.9)(22.3)
Total expenditure and net lending14.413.013.717.020.823.422.6
Surplus or deficit (-)
Including foreign grants0.70.21.5–4.8–2.52.50.9
Excluding foreign grants–0.8–1.20.1–5.9–4.21.5–0.3
Broad coverage 6/
Total revenue and grants
In billions of cedis238.1296.7429.6425.1822.31,408.71,970.9
In percent of GDP16.814.616.714.120.828.526.0
Total expenditure and net lending
In billions of cedis268.2341.4463.5668.31,108.51,573.92,227.7
In percent of GDP18.916.818.022.228.131.829.4
Current savings 7/
In billions of cedis79.890.5156.624.742.2169.5491.7
In percent of GDP5.64.56.10.81.13.46.5
Excluding foreign grants
In billions of cedis34.933.381.3–66.8–122.4–8.1211.6
In percent of GDP1.51.63.2–2.2–3.1–0.22.8
Overall deficit (-)
In billions of cedis–30.1–44.7–33.9–243.2–286.2–165.2–256.8
In percent of GDP–2.1–2.2–1.3–8.1–7.2–3.3–3.4
Excluding foreign grants
In billions of cedis–75.0–101.9–109.2–334.7–450.9–342.8–536.9
In percent of GDP–5.3–5.0–4.2–11.1–11.4–6.9–7.1
Sources: Data provided by the Ghanaian authorities; and staff estimates.

Excludes capital expenditure financed through external project grants and loans.

Expenditures are reported on a cash basis.

Includes pensions to government employees.

Includes provision for redeployment, retraining, and relocation of public sector employees.

Deposits in a special blocked account at the Bank of Ghana (BOG) to back up the issuance of Bank of Ghana bonds for the purpose of replacing nonperforming bank assets, as well as to cover other costs of financial sector reform.

Includes capital expenditure financed through external project grants and loans. These data are subject to a certain degree of estimation error.

Defined as total revenue and grants (broad coverage excluding divestiture receipts) minus current expenditure and special efficiency outlays.

Sources: Data provided by the Ghanaian authorities; and staff estimates.

Excludes capital expenditure financed through external project grants and loans.

Expenditures are reported on a cash basis.

Includes pensions to government employees.

Includes provision for redeployment, retraining, and relocation of public sector employees.

Deposits in a special blocked account at the Bank of Ghana (BOG) to back up the issuance of Bank of Ghana bonds for the purpose of replacing nonperforming bank assets, as well as to cover other costs of financial sector reform.

Includes capital expenditure financed through external project grants and loans. These data are subject to a certain degree of estimation error.

Defined as total revenue and grants (broad coverage excluding divestiture receipts) minus current expenditure and special efficiency outlays.

Table 22.Ghana: Central Government Revenue and Grants, 1989-95
1989199019911992199319941995

Prov.
Narrow coverage
Tax revenue174,522219,677319,453301,834509,152841,1231,138,514
Taxes on income, profits, and capital gains45,93955,14362,44462,101110,299170,497275,000
Individual12,32317,43018,73421,12444,31762,33080,783
Personal(7,214)(10,836)(11,700)(15,680)(36,981)(51,458)(65,400)
Self–employed(5,109)(6,594)(7,034)(5,444)(7,336)(10,872)(15,383)
Corporate31,38033,98539,90734,50754,33089,491157,181
Other2,2363,7283,8036,47011,65218,67637,036
Taxes on domestic goods and services52,06971,719137,857128,799222,868309,008363,550
Sales taxes17,86123,40529,53027,52731,24849,76169,579
Excise duties except petroleum19,13922,91729,55230,95439,72757,54769,947
Petroleum revenue15,06925,39778,77570,318151,893201,700224,024
Taxes on international trade and transactions76,31492,815119,152110,934175,985361,618499,964
Import taxes45,09965,63182,99990,374140,237215,461342,751
Customs duties(24,261)(34,508)(43,501)(49,545)(72,107)(106,084)(162,452)
Sales taxes on imports(18,502)(27,809)(34,901)(35,423)(54,612)(86,783)(140,112)
Special tax(2,080)(2,490)(3,745)(5,310)(7,584)(4,987)(6,427)
Other import charges(256)(824)(852)(296)(5,934)(17,607)(33,760)
Export duty – cocoa31,41527,18436,15320,36035,748146,157157,213
Nontax revenue18,64819,82434,90631,726148,429389,949552,277
Of which: divestiture receipts(--)(--)(--)(--)(85,750)(261,778)(111,787)
Grants21,34327,82136,26132,69666,62949,48393,785
Total revenue and grants214,513267,322390,620366,256724,2101,280,5551,784,576
Taxes on income and property3.22.72.42.12.83.43.6
Taxes on domestic goods and services3.73.55.44.35.66.24.8
Taxes on international trade and transactions5.44.64.63.74.57.36.6
Nontax revenue1.31.01.41.13.87.97.3
Grants1.31.41.41.11.71.01.2
Total revenue and grants15.113.215.212.218.325.923.6
Memorandum item:
Broad coverage
Total revenue and grants
In millions of cedis238,111296,705429,628425,088822,2711,408,6861,970,863
la percent of GDP16.814.616.714.120.828.526.0
Source: Ministry of Finance
Source: Ministry of Finance
Table 23.Ghana: Economic Classification of Central Government Expenditure and Net Lending, 1989–95
1989199019911992199319941995

Prov.
Narrow coverage
Current expenditure148,643198,193263,714373,258643,467896,8511,269,952
Expenditure on goods and services98,652127,260166,109240,308368,799498,311671,891
Wages and salaries62,89082,280105,371171,100227,597297,092431,047
Other goods and services35,76244,98060,53869,208141,202201,219240,844
Interest payments18,74427,31842,82861,004134,778230,485328,781
Domestic7,93817,31329,62734,94994,340166,449232,948
External10,8069,80513,20126,05540,43864,03695,833
Subsidies and transfers31,24743,61554,77771,946139,890168,055269,280
Subventions18,01426,90733,61841,01979,75694,815135,010
Pensions and gratuities8,34410,93213,30218,59236,15036,74086,665
Social security4,8895,7767,65712,33523,98436,50047,605
Capital expenditure and net lending45,89757,78778,381110,326127,283195,912392,322
Capital expenditure 1/38,20048,30067,22898,449119,254187,653376,518
Net lending7,6979,48711,35311,8778,0298,25915,804
Special efficiency9,6237,9809,32027,10650,80563,99951,423
Of which: end–of–service benefits(– –)(– –)(– –)(19,900)(32,840)(27,673)(31,300)
Total expenditure and net lending204,163263,960351,615510,690821,5551,156,7621,713,697
Current expenditure10.59.810.212.416.318.116.8
Expenditure on goods and services7.06.36.38.09.310.18.9
Wages and salaries4.44.04.15.75.86.05.7
Interest payments1.31.31.72.03.44.74.3
Subsidies and transfers2.22.12.12.43.53.43.6
Capital expenditure and net lending3.22.83.13.73.24.05.2
Special efficiency0.70.40.40.91.31.30.7
Total expenditure and net lending14.413.013.717.020.823.422.6
Memorandum items:
Broad coverage
Total expenditure and net lending
In millions of cedis268,180341,376463,524668,3051,108,5001,573,8992,227,686
In percent of GDP18.916.818.022.228.131.829.4
Source: Ministry of Finance

Expenditures are reported on a cash basis.

Source: Ministry of Finance

Expenditures are reported on a cash basis.

Table 24.Ghana: Functional Classification of Central Government Expenditure, 1989–94
198919901991199219931994
General public services37,91949,47941,73258,45083,918145,432
Defense6,1069,00615,23023,24239,48133,853
Public order and safety– –– –17,15521,47930,83873,544
Education47,69264,83578,801118,363179,234255,792
Health19,85325,70628,65439,45056,63979,551
Social security and welfare14,37918,38923,88434,63057,75240,776
Social security and assistance13,23313,79221,15930,92751,93627,494
Welfare1,1464,5972,7253,7035,81613,282
Housing and community amenities5,1706,6077,4818,63912,4038,707
Other community and social services3,8606,8727,8107,02610,08720,558
Economic services33,12438,28254,77382,691129,721110,059
Agriculture, forestry, and fishing9,14210,43812,37819,81528,44926,752
Mining, manufacturing, and construction2,1842,6253,1867,68211,0298,344
Electricity, gas, steam, and water141,0481,1024,8897,019– –
Roads 1/14,88316,08928,16842,63972,21817,667
Other transport and communications2,3523,2484,3255,0547,25643,226
Other economic services4,5494,8345,6142,6123,75014,070
Interest on public debt18,74427,31642,82861,004134,778230,485
Other purpose– –– –12,59416,73427,87085,747
Special efficiency9,6237,9809,32027,10650,80563,999
Total expenditure196,470254,472340,262498.814813.5261,148,503
Education3.43.23.13.94.55.2
Health1.41.31.11.31.41.6
Social security and welfare1.00.90.91.21.50.8
Economic services2.31.92.12.73.32.2
Total expenditure13.912.513.216.620.623.2
Source: Ministry of Finance

Expenditures are reported on a cash basis.

Source: Ministry of Finance

Expenditures are reported on a cash basis.

Table 25:Ghana: Distribution of Outstanding Central Government Domestic Debt, 1989–94(In millions of cedis; end of period)
1989199019911992199319941/
Domestic debt61,20746,06948,162226,736473,488496,384
Monetary authorities13,68613,69116,667155,138306,928314,546
Deposit money banks6,3573,076858280275275
Social security fund11,92818,43018,43032,26194,52582,874
Financial intermediaries 2/5,20810,87212,20739,05771,76098,689
Nonfinancial sector 3/24,028
Memorandum item:
Domestic debt as a percent of GDP4.32.31.97.512.010.0
Source: Bank of Ghana

Estimate.

For 1990–95, the estimates refer to total debt held by financial intermediaries and the nonfinancial sector.

Public enterprises and the nonfinancial private sector.

Source: Bank of Ghana

Estimate.

For 1990–95, the estimates refer to total debt held by financial intermediaries and the nonfinancial sector.

Public enterprises and the nonfinancial private sector.

Table 26.Ghana: Operations of the Social Security and National Investment Trust, 1989–94(In millions of cedis)
198919901991199219931994
Contributions1/13,261.517,356.220,656.532,360.586,099.883,352.2
From Central Government6,827.88,045.410,507.312,084.654,029.739,820.2
From others6,433.79,310.810,149.220,275.932,070.143,532.0
Property income4,612.06,711.78,954.310,287.218,850.327,344.7
From central government stock4,241.85,980.87,207.97,782.613,473.020,679.3
Other370.2730.91,746.42,504.65,377.36,665.4
Total revenue17,873.524,067.929,610.842,647.7104,950.1110,696.9
Administrative expenditures2,604.13,562.34,998.86,947.79,933.117,765.8
Wages and salaries785.71,204.82,306.73,467.24,956.69,869.4
Other1,818.42,357.52,692.13,480.54,976.57,896.4
Transfers to households594.4956.8786.51,448.83,321.38,123.9
Superannuation benefits506.7856.7501.8549.9703.51,128.5
Other 2/87.7100.1284.7898.92,617.86,995.4
Acquisition of fixed capital assets 3/6,263.913,133.217,675.711,850.818,903.524,722.1
Total expenditure9,462.417,652.323,461.020,247.332,157.950,611.8
Surplus8,411.16,415.56,149.822,400.472,792.260,085.1
Financing(8,411.1)(6,415.5)(6,149.8)(22,400.4)(72,792.2)(60,085.1)
Acquisition of central government securities270.0(3,689.0)148.1(14,838.5)(57,790.9)1,901.6
Short–term deposits(8,001.0)(12.0)(1,650.0)(1,889.0)1,128.0(14,484.6)
Other 4/(1,431.4)(1,470.3)(438.9)(934.3)(14,950.1)(52,712.5)
Unidentified751.3(1,244.1)(4,209.0)(4,738.6)(1,179.2)5,210.4
Memorandum item:
Interest accruing to members’ accounts942.51,378.1
Source: Social Security and National Insurance Trust.

Combined employer/employee contributions from the sector shown.

Emigration, death, survivor, disability, sickness, and unemployment benefits.

Acquisition of offices, workers’ accomodations, and real estate developments for leasing.

Includes loans to the Bank fo Housing and Construction and the State Housing Corporation, as well as investment in an equipment leasing company.

Source: Social Security and National Insurance Trust.

Combined employer/employee contributions from the sector shown.

Emigration, death, survivor, disability, sickness, and unemployment benefits.

Acquisition of offices, workers’ accomodations, and real estate developments for leasing.

Includes loans to the Bank fo Housing and Construction and the State Housing Corporation, as well as investment in an equipment leasing company.

Table 27.Ghana: Summary of Financial Operations of Select Major State–Owned Enterprises, 1989–94(In millions of cedis)
198919901991199219931994
Electricity Corporation of Ghana
Revenues9,63311,08114,46624,45846,53072,853
Costs6,55810,60417,20225,82636,30545,986
Of which: wages and salaries(1,027)(1,029)(…)(…)(4,414)(5,698)
Gross profit3,075477(2,736)(1,368)10,22526,867
Tax paid– –– –– –– –– –
Dividend payments– –– –– –– –– –
Subvention receipts– –– –– –– –– –
Net lending receipts– –– –– –– –– –
Investment4,32648048048036,789
Foreign financing of investment1,496– –– –– –18,309
Ghana Airways Corporation
Revenues14,61419,27425,57630,24838,153
Costs14,16119,13825,00829,98236,358
Of which: wages and salaries(…)(…)(…)(1,138)(3,537)(…)
Gross profit4531365682661,795
Tax paid1072646020– –
Dividend payments– –336– –– –– –
Subvention receipts– –– –– –– –– –
Net lending receipts– –– –– –– –– –
Investment364464137363149,901
Foreign financing of investment– –– –– –– –941,200
Ghana Cocoa Board (Cocoa Division)1/
Revenues 2/88,187100,207107,599123,930134,760184,784
Costs75,70089,479106,662116,895140,388187,191
Of which: wages and salaries(…)(…)(…)(…)(…)(58,252)
Gross profit12,48810,7289377,035(5,629)(2,408)
Tax paid– –– –– –– –– –
Dividend payments– –– –– –– –– –
Subvention receipts– –– –– –– –– –
Net lending receipts– –– –– –– –– –
Investment– –– –223,886223,886223,886
Foreign financing of investment– –– –– –– –– –
Ghana Oil Company Limited
Revenues15,47629,56848,20863,00073,02883,125
Costs14,70028,77746,75660,00072,23478,156
Of which: wages and salaries(198)(233)(…)(290)(812)(1,222)
Gross profit7767911,4523,0007944,969
Tax paid149224378945403
Dividend payments3015100100– –
Subvention receipts– –– –– –– –– –
Net lending receipts– –– –– –– –– –
Investment110110110110– –
Foreign financing of investment– –– –– –– –– –
Ghana Ports and Harbours Authority
Revenues10,66016,60816,50035,87552,91045,000
Costs7,7089,73310,35016,69520,63423,335
Of which: wages and salaries(2,526)(1,980)(3,052)(4,578)(8,047)(10,800)
Gross profit2,9526,8756,15019,18032,27621,465
Tax paid10145599005,500
Dividend payments70200– –– –– –
Subvention receipts– –– –– –– –– –
Net lending receipts– –– –– –– –– –
Investment6,137– –8,134– –– –
Foreign financing of investment– –– –– –– –– –
Ghana Post and Telecommunications Corp.
Revenues10,20015,39914,12744,34252,62248,990
Costs8,34812,5538,71429,32049,79425,691
Of which: wages and salaries(1,651)(924)(1,155)(1,733)(7,801)(9,640)
Gross profit1,8522,8365,41315,0222,82823,299
Tax paid– –– –– –– –– –
Dividend payments– –– –– –– –– –
Subvention receipts– –– –– –– –– –
Net lending receipts– –– –– –– –24,765
Investment28,160– –– –– –44,713
Foreign financing of investment8,941– –– –– –24,765
Ghana Railway Corporation
Revenues2,2362,8094,2144,9258,157
Costs3,3003,3164,9745,71010,330
Of which: wages and salaries(…)(1,852)(2,778)(…)(…)(5,002)
Gross profit(1,064)(507)(760)(785)(2,173)
Tax paid– –– –– –– –
Dividend payments– –– –– –– –
Subvention receipts214– –– –– –
Net lending receipts– –– –– –– –
Investment– –– –– –– –
Foreign financing of investment– –– –– –– –
Ghana Supply Commission
Revenues3076341,0069421,1191,068
Costs230454464540714800
Of which: wages and salaries(58)(74)(147)(265)(460)(450)
Gross profit77180542402405268
Tax paid56453355
Dividend payments– –– –– –– –– –
Subvention receipts– –– –– –– –– –
Net lending receipts– –– –– –– –– –
Investment3811251,5281,4581,796
Foreign financing of investment– –– –– –– –– –
Ghana Water and Sewerage Corporation
Revenues5,2007,2649,30915,00521,24923,130
Costs4,70013,18911,68110,6597,83217,172
Of which: wages and salaries(1,600)(1,622)(1,523)(1,523)(4,726)(6,902)
Gross profit500(5,925)(2,372)4,34613,4175,958
Tax paid– –– –– –– –– –
Dividend payments– –– –– –– –– –
Subvention receipts– –4,7676,2046,204– –
Net lending receipts– –– –– –– –– –
Investment18,29033519219245
Foreign financing of investment1,200– –– –– –– –
State Shipping Corporation
Revenues7,09210,9575,8733,1087,0585,154
Costs7,6967,7526,4003,1717,4723,628
Of which: wages and salaries(304)(…)(…)(…)(1,164)(1,026)
Gross profit(604)3,205(527)(63)(414)1,526
Tax paid– –– –– –– –– –
Dividend payments– –– –– –– –– –
Subvention receipts– –– –– –– –– –
Net lending receipts– –– –– –– –– –
Investment3– –– –– –– –
Foreign financing of investment– –– –– –– –– –
TEMA Oil Refinary
Revenues2,2403,8756,8109,00011,34715,387
Costs2,0483,4355,3597,0009,96212,823
Of which: wages and salaries(…)(…)(612)(918)(863)(929)
Gross profit1924401,4512,0001,5852,564
Tax paid3225187187263
Dividend payments– –222– –
Subvention receipts– –– –– –– –– –
Net lending receipts– –– –– –– –– –
Investment– –3434341,968
Foreign financing of investment– –– –– –– –1,122
Volta River Authority
Revenues20,80039,43748,65455,30070,37494,313
Costs19,72327,30832,86524,34120,27753,136
Of which: wages and salaries(1,300)(686)(1,126)(…)(6,413)(4,347)
Gross profit1,07711,92915,78930,95950,59741,177
Tax paid– –– –– –– –– –
Dividend payments– –– –5,3235,323– –
Subvention receipts– –– –– –– –– –
Net lending receipts– –– –– –– –4,045
Investment– –4,3767,8337,8337,600
Foreign financing of investment11,500– –– –– –– –
Total3/
Revenues186,645257,103302,342410,133509,350581,961
Costs164,372225,938276,435330,139401,970458,448
Of which: wages and salaries(8,664)(8,400)(10,393)(10,445)(38,237)(104,268)
Gross profit21,77431,16525,90779,994107,879123,513
(In percent of total revenues)11.712.18.619.521.221.2
Tax paid3035331,2292,0856,2210
(In percent of total profit)1.41.74.72.65.80.0
Dividend payments1005535,4255,42500
Subvention receipts2144,7676,2046,20400
Net lending receipts000028,8100
Investment57,7715,924242,334234,356466,6980
Foreign financing of investment23,137000985,3960
Memorandum item:
Ghana National Petroleum Corporation
Revenues44,86588,997
Costs46,79090,215
Of which: wages and salaries(61)(…)(…)(…)(…)(…)
Gross profit(1,925)(1,218)
Tax paid– –– –
Dividend payments– –– –
Subvention receipts– –– –
Net lending receipts– –– –
Investment551706
Foreign financing of investment606– –
Source: Slate Enterprise Commission; and staff estimates.

Cocoa Board figures are staff estimates based on annual crop year accounts ending September 30.

Cocoa Board revenues are net of export duty paid on cocoa.

Excludes Ghana Railways Corporation in 1993 and Ghana Airways Corporation in 1994.

Source: Slate Enterprise Commission; and staff estimates.

Cocoa Board figures are staff estimates based on annual crop year accounts ending September 30.

Cocoa Board revenues are net of export duty paid on cocoa.

Excludes Ghana Railways Corporation in 1993 and Ghana Airways Corporation in 1994.

Table 28.Ghana: Public Investment Program, 1993–95 1/(In millions of cedis)
1993–95199319941995
Investment

by sector
Percentage

distribution
Investment

by sector
Percentage

distribution
Investment

by sector
Percentage

distribution
Investment

by sector
Percentage

distribution
Directly productive sectors187,68014.073,14018.363,05813.951,48210.6
Agriculture(74,635)(5.6)(26,727)(6.7)(25,458)(5.6)(22,450)(4.6)
Industry(40,929)(3.1)(13,853)(3.5)(16,387)(3.6)(10,689)(2.2)
Mining and forestry(72,116)(5.4)(32,560)(8.2)(21,213)(4.7)(18,343)(3.8)
Economic infrastructure938,43770.0275,70869.2321,49570.7341,23469.9
Water(149,207)(11.1)(41,675)(10.5)(55,827)(12.3)(51,705)(10.6)
Transport and communication(228,411)(17.0)(61,827)(15.5)(82,537)(18.1)(84,047)(17.2)
Energy(206,376)(15.4)(75,055)(18.8)(64,700)(14.2)(66,621)(13.7)
Roads and highways(305,507)(22.8)(85,240)(21.4)(103,305)(22.7)(116,962)(24.0)
Works and housing(48,936)(3.6)(11,911)(3.0)(15,126)(3.3)(21,899)(4.5)
Social and administrative sectors212,66215.949,12012.369,48915.394,05319.3
Education(95,383)(7.1)(21,655)(5.4)(32,413)(7.1)(41,315)(8.5)
Health(57,461)(4.3)(13,444)(3.4)(19,950)(4.4)(24,067)(4.9)
Local gov’t and community development(23,876)(1.8)(3,528)(0.9)(6,298)(1.4)(14,050)(2.9)
PAMSCAD 2/(1,462)(0.1)(1,462)(0.4)(0)(0.0)(0)(0.0)
Other(8,537)(0.6)(2,136)(0.5)(2,777)(0.6)(3,624)(0.7)
Multisectoral projects(25,943)(1.9)(6,895)(1.7)(8,051)(1.8)(10,997)(2.3)
Culture2,6000.26510.28460.21,1030.2
Total1,341,379100.0398,619100.0454,888100.0487,872100.0
Source: Data provided by the Ghanaian authorities.

Formulated on the basis of a ¢ 620/US$1 exchange rate (end-June 1993) for foreign sources of funding.

Program of Actions to Mitigate the Social Costs of Adjustment.

Source: Data provided by the Ghanaian authorities.

Formulated on the basis of a ¢ 620/US$1 exchange rate (end-June 1993) for foreign sources of funding.

Program of Actions to Mitigate the Social Costs of Adjustment.

Table 29.Ghana: Summary of the Monetary Survey, 1989-95 1/(In millions of cedis: end of period)
1989199019911992199319941995
Net foreign assets 2/-121,302-80,502-38,387-109,181-112,47135,123197,699
Bank of Ghana-156,968-144,827-106,427-210,844-237,375-154,418106,716
Deposit money banks35,67864,32568,040101,663124,904189,54290,983
Net domestic assets96,305361,025361,503581,379811,341827,329778,339
Claims on Government (net)-2,110288,630253,662356,159550,264515,705439,141
Bank of Ghana-3,871291,332270,520378,402613,439584,634514,841
Deposit money banks-6,583-13,574-16,858-22,243-63,175-68,929-75,700
Discount House8,34410,872----------
Cocoa financing23,74729,68135,41055,23529,3227,9428,127
Claims on the rest rest of the economy81,37377,870119,102163,041247,038443,667618,744
Claims on public entities 3/19,67413,79127,65024,24059,065170,345188,261
Claims on nonbank financial------------37,193
Claims on the private sector61,69964,07991,452138,801187,973273,332393,289
Other items (net)-6,706-35,156-46,6716,944-15,283-139,998-287,673
Revaluation account 4/276,18913,85227,64758,27833,211201,276489,016
Assets = Liabilities251,203294,375350,763530,476732,0811,063,7251,465,049
Money and quasi-money240,071283,242339,632519,343661,574967,3611,329,579
Money185,153216,958235,747360,685461,347693,543925,282
Quasi-money54,91866,284103,885158,658200,227273,818404,296
Counterpart to SDR allocations11,13211,13211,13211,13270,50796,364135,471
Source: Bank of Ghana.

Including the accounts of the secondary banks since 1984 and of the Discount House since 1988.

Based since early 1989 on the revised classification of the foreign assets and liabilities of the Bank of Ghana and the Ghana Commercial Bank.

The nonperforming bank loans to state enterprises were replaced in 1990 with medium-term Bank of Ghana bonds or were in part offset against Bank of Ghana loans to banks.

The revaluation losses of the Bank of Ghana accumulated by end-1989 were taken over by the Government in January 1990, and losses accumulated through end-1993 were taken over by the Government in December 1993.

Source: Bank of Ghana.

Including the accounts of the secondary banks since 1984 and of the Discount House since 1988.

Based since early 1989 on the revised classification of the foreign assets and liabilities of the Bank of Ghana and the Ghana Commercial Bank.

The nonperforming bank loans to state enterprises were replaced in 1990 with medium-term Bank of Ghana bonds or were in part offset against Bank of Ghana loans to banks.

The revaluation losses of the Bank of Ghana accumulated by end-1989 were taken over by the Government in January 1990, and losses accumulated through end-1993 were taken over by the Government in December 1993.

Table 30.Ghana: Summary Accounts of the Bank of Ghana, 1989-95(In millions of cedis: end of period)
1989199019911992199319941995
Net foreign assets 1/-156,968-144,827-106,427-210,844-237,375-154,418106,716
Assets74,47996,839186,662170,165352,233662,8431,003,845
Liabilities-110,465-154,99-224,492-337,750-510,527-728,119-811,971
Net bilateral accounts1,87614,88322,65517,31120,18028,67662,362
Payments arrears-5,251------------
Net use of Fund credit-117,606-101,558-91,252-60,570-99,261-117,818-147,518
Net domestic assets20,004292,571285,907384,183661,713736,553705,962
Central Government (net)-3,871291,332270,520378,402613,439584,634514,840
Net credit-3,871-20,438-56,96350,91969,70740,902-28,892
Credit13,68613,69116,667155,138306,914358,986465,385
Deposits-17,558-34,129-73,630-104,219-237,207-318,084-494,277
Revaluation losses 2/--311,770327,483327,483543,732543,732543,732
Rest of public sector (net)-8,069-12,996-7,1411,60633,329145,095145,598
Credit2,3472,9525,9453,79036,626148,587151,808
Deposits-10,417-15,948-13,086-2,184-3,297-3,492-6,311
Cocoa financing (gross)22,9383,85114,378--8,116170--
Nonbank financial intermediaries------------37,194
Credit to banks8,96110,3678,1484,1696,8246,6508,338
Claims on private sector461726532
Revaluation account 2/273,54710,79427,64758,27833,211201,276489,016
Assets = Liabilities136,583158,538207,127231,617457,549783,4111,301,694
Liabilities to banks33,34835,00427,68260,89232,78489,50969,837
Currency8,5758,5859,43113,77417,30623,33939,166
Deposits23,85525,50017,33246,19914,55965,25129,752
Special deposits 3/919919919919919919919
Nonbank financial intermediaries--------------
Liabilities to private sector82,97380,16290,646183,682222,728369,194547,908
Currency82,91780,04589,925183,481222,203368,800546,337
Deposits561177212015253951,572
Other items (net) 4/20,26243,37288,799-12,957202,037324,708683,949
Source: Bank of Ghana.

Revised classified of foreign assets and liabilities since 1989.

The revaluation losses of the Bank of Ghana were taken over by the Government in January 1990 and December 1993. Figures for 1995 also include take over of revaluation losses of I 396.3 billion. The revaluation account also includes the exchange equalization account.

Includes 50 cedi deposits before reclassification and unclassified liabilities.

Includes allocation of SDRs and net unclassified liabilities.

Source: Bank of Ghana.

Revised classified of foreign assets and liabilities since 1989.

The revaluation losses of the Bank of Ghana were taken over by the Government in January 1990 and December 1993. Figures for 1995 also include take over of revaluation losses of I 396.3 billion. The revaluation account also includes the exchange equalization account.

Includes 50 cedi deposits before reclassification and unclassified liabilities.

Includes allocation of SDRs and net unclassified liabilities.

Table 31.Ghana: Summary Accounts of Deposit Money Banks, 1989-95 1/(In millions of cedis; end of period)
1989199019911992199319941995
Net foreign assets 2/35,67864,32568,040101,663124,903189,54290,983
Assets70,677102,800119,663162,043257,222426,762475,283
Liabilities-34,999-38,475-51,623-60,380-132,319-237,220-381,300
Cash and balance with Bank of Ghana45,05242,71661,67181,01443,88190,939106,662
Cash and demand deposits38,07033,65159,32378,71341,58088,741105,667
Special deposits6,9829,0652,3482,3012,3012,198
Net domestic assets26,41179,785144,532182,894290,167486,226795,642
Central Government (net)-6,58313,57416,858-22,243-63,175-68,929-79,500
Credit(6,357)(2,948)(858)(280)(275)(275)(275)
Deposits(-12,940)(-16,522)(-17,716)(-22,523)(-63,450)(-69,204)(-75,375)
Rest of public sector 3/-25,561-36,176-36,394-71,930-106,557-124,410-170,080
Credit(17,327)(10,839)(21,705)(20,450)(22,439)(21,757)(38,353)
Deposits(-42,888)(-47,015)(-58,099)(-92,380)(-128,996)(-146,167)(-206,443)
Cocoa financing (gross)80913,20713,22248,01920,5357,7728,127
Private sector credit61,09463,27288,783138,516187,339273,264303,283
Net unclassified assets 2/-3,34853,05695,77990,532252,025398,528640,017
Revaluation account2,6423,058----------
Assets = Liabilities109,783189,884274,243365,571458,951766,707993,286
Liabilities to the Bank of Ghana3,7311,0741,6232,1465,81119,75417,551
Special Accounts 4/4,8022,7125,8606,5863,0971,34130,085
Liabilities to private sector103,793140,118190,803266,643318,169495,714675,408
Demand deposits55,53880,44398,408132,746158,326262,437339,445
Savings deposits43,79954,82578,300114,870135,648200,164257,898
Time deposits4,4564,85014,09519,02724,19533,11378,124
Capital and reserves-2,54447,97875,95890,196131,876249,898270,179
Source Bank of Ghana.

Effective 1984, the coverage of the accounts for the deposit money banks was extended to include the seven so-called secondary banks, in addition to the three large commercial banks.

Including the revised classification of the foreign assets and liabilities of the Ghana Commercial Bank effective January 1989; the counterpart of these adjustments was reflected in net unclassified assets.

The nonperforming bank loans to state enterprises were replaced in 1990 with medium-term Bank of Ghana bonds or were in part offset against Bank of Ghana loans to banks.

Comprises largely margins against contingent liabilities and deposits required for the opening of letters of credit.

Source Bank of Ghana.

Effective 1984, the coverage of the accounts for the deposit money banks was extended to include the seven so-called secondary banks, in addition to the three large commercial banks.

Including the revised classification of the foreign assets and liabilities of the Ghana Commercial Bank effective January 1989; the counterpart of these adjustments was reflected in net unclassified assets.

The nonperforming bank loans to state enterprises were replaced in 1990 with medium-term Bank of Ghana bonds or were in part offset against Bank of Ghana loans to banks.

Comprises largely margins against contingent liabilities and deposits required for the opening of letters of credit.

Table 32.Ghana: Distribution of Bank Loans and Advances to Public Institutions and the Private Sector, 1989–95
1989199019911992199319941995
(In millions of cedis: end of period)
Agriculture, forestry
and fishing 1/11,476.612,158.312,431.814,71517,257.024,425.442,121.2
Mining and quarrying1,927.61,032.81,163.42,460.13,168.55,370.86,506.1
Manufacturing26,847.122,882.923,024.437,943.951,187.186,554.3129,264.2
Construction8,868.410,588.114,393.327,039.132,776.743,579.650,761.4
Electricity, gas, and water326.1286.11,579.03,4215,832.76,155.86,251.8
Commerce16,903.516,012.625,875.044,458.866,073.989,322.9137,158.3
Imports(4,207.8)(4,140.3)(5,940.5)(12,519.1)(14,923.9)(18,898.0)(23,660.3)
Exports(3,169.7)(3,376.9)(4,733.0)(8,952.9)(12,340.5)(19,994.8)(44,570.8)
Domestic 2/(9,526.0)(8,495.4)(15,201.5)(22,986.8)(38,809.5)(50,430.1)(69,027.2)
Transport, storage, and
communications5,811.04,427.25,321.95,594.36,863.38,334.38,044.0
Services5,738.76,310.57,163.211,033.713,757.718,596.433,238.2
Miscellaneous1,632.02,673.52,918.24,604.410,142.212,885.819,193.0
Total79,531.676,372.093,870.2151,271.5207,059.1295,225.3432,638.5
(Shares in total: in percent)
Agriculture, forestry,
and fishing 1/14.415.913.29.78.38.39.7
Mining and quarrying2.41.41.21.61.51.81.5
Manufacturing33.830.024.525.124.729.329.9
Construction11.213.915.317.915.814.811.7
Electricity, gas, and water0.40.41.72.32.82.11.4
Commerce21.321.027.629.431.930.331.7
Imports5.35.46.38.37.26.45.4
Exports4.04.45.05.96.06.810.3
Domestic12.011.116.215.218.717.116.0
Transport, storage, and
communications7.35.85.73.73.32.81.9
Services7.28.37.67.36.66.37.7
Miscellaneous2.13.53.13.04.94.44.4
Total100.0100.0100.0100.0100.0100.0100.0
(Annual percentage changes)
Agriculture, forestry,
and fishing 1/16.15.92.218.417.341.572.4
Mining and quarrying35.6-46.412.6111.528.869.521.1
Manufacturing28.4-14.80.664.834.969.149.3
Construction13.519.435.987.921.233.016.5
Electricity, gas, and water373.5-12.4451.9116.770.55.51.6
Commerce14.9-5.361.671.848.635.253.6
Imports-4.7-1.643.5110.719.226.624.7
Exports22.16.540.289.237.862.0122.9
Domestic 2/23.7-10.878.951.268.829.936.9
Transport, storage, and
communications4.4-23.820.25.122.721.4-3.5
Services16.710.013.554.024.735.278.7
Miscellaneous74.563.89.257.8120.327.148.9
Total20.1-4.022.961.136.942.646.5
Source: Bank of Ghana.

Excludes loans and advances to the Cocoa Board.

Includes loans and advances to the Cocoa Board.

Source: Bank of Ghana.

Excludes loans and advances to the Cocoa Board.

Includes loans and advances to the Cocoa Board.

Table 33.Ghana: Reserve Ratios of Commercial Banks, 1989-95(End-of-period figures)
Deposits

subject to

reserve

ratois
Actual reservesReserve ratios
Cash1/Other

assets 2/
Totalcash1/Other assets 2/Total
MinimumActualMinimumActualActualExcess
Demand 3/Time 4/
(In millions of cedis)(In percent of deposits subject to reserve requirements)
1989
March120,214.034,842.018,362.053,204.030.010.029.015.015.344.37.6
June133,259.037,220.022,568.059,788.030.010.027.915.016.944.97.9
September131,364.034,008.024,248.058,256.030.010.025.915.018.544.37.4
December148,091.940,953.023,816.564,769.530.010.027.715.061.143.76.5
1990
March157,853.046,864.045,576.092,440.027.027.029.715.028.958.616.6
June165,725.049,755.033,455.083,210.027.027.030.015.020.250.28.2
September163,112.656,196.628,482.484,679.027.027.034.515.017.551.99.9
December192,249.358,032.651,512.6109,545.222.022.030.220.026.857.015.0
1991
March212,252.558,689.471,560.0130,249.422.022.027.720.033.761.419.4
June210,972.655,357.961,937.8117,295.722.022.026.220.029.455.613.6
September214,576.344,344.480,891.0125,235.418.018.020.724.037.758.416.4
December246,346.132,209.577,368.4129,577.918.018.013.124.031.452.610.6
1992
March260,630.251,864.798,874.7150,739.418.018.019.924.037.957.815.8
June280,443.858,399.7113,359.3171,759.018.018.020.824.040.461.224.9
September304,602.360,659.4136,228.0196,887.418.018.019.924.044.764.623.5
December344,303.169,919.0140,760.3218,687.318.018.020.324.040.963.521.5
1993
March350,051.157,800.6181,178.1238,978.710.010.016.532.051.868.326.3
June362,426.645,188.9209,269.4254,458.410.010.012.547.057.770.213.2
September381,874.746,326.7220,641.2266,967.910.010.012.147.057.869.912.9
December418,701.038,747.8264,394.0303,141.85.05.09.352.063.172.415.4
1994
March440,139.335,533.3297,898.1333,431.45.05.07.952.066.574.417.4
June507,205.842,834.4341,650.6384,485.05.05.08.452.067.475.818.8
September545,995.647,143.6364,358.9411,502.15.05.08.652.066.775.410.4
December614,369.653,640.1437,735.2401,375.55.05.08.752.071.280.023.0
1995
March651,114.460,048.5437,699.3505,747.85.05.010.452.068.977.320.3
June720,229.472,286.2447,570.1519,856.35.06.010.052.062.172.215.2
September836,423.978,094.4427,398.6505,483.05.05.09.352.051.160.43.4
December954,391.1109,096.2468,156.9577,263.15.05.011.452.049.160.53.5
Sources: Bank of Ghana; and staff estimates.

Includes deposits with the Bank of Ghana.

Comprises treasury bills, government securities, Bank of Ghana bills, cocoa bills, and grain cotton bills, and export finance bills.

Cash reserve requirements on demand deposits.

Cash reserve requirements on time and savings deposits.

Sources: Bank of Ghana; and staff estimates.

Includes deposits with the Bank of Ghana.

Comprises treasury bills, government securities, Bank of Ghana bills, cocoa bills, and grain cotton bills, and export finance bills.

Cash reserve requirements on demand deposits.

Cash reserve requirements on time and savings deposits.

Table 34.Ghana: Interest Rate Structure of Banks, March 1993-December 1995(In percent per annum)
199319941995
MarchJuneSept.Dec.MarchJuneSept.Dec.MarchJuneSept.Dec.
Money market rates 1/
Bank of Ghana instruments
30-day 2/30.030.030.030.024.024.024.5
91-day31.932.032.032.027.027.027.829.533.033.039.040.5
180-day29.430.030.030.026.525.325.528.032.032.032.033.0
1-year33.033.333.333.328.228.229.032.536.036.036.039.0
2-year33.733.833.833.828.528.529.132.633.033.033.033.0
3-year 3/34.034.334.334.328.728.729.232.6
5-year 3/34.535.035.035.029.029.029.532.7
Treasury bills (91-day)29.532.032.032.027.027.028.629.533.033.039.040.5
Bank of Ghana rediscount rate35.035.035.035.030.030.030.033.039.039.045.045.0
Commercial bank rates 4/
Demand deposits6.65.56.05.75.86.06.17.07.97.27.86.3
Savings deposits16.719.619.819.817.917.317.418.321.321.721.725.7
Time deposits
3-month19.325.225.826.522.420.622.824.228.028.026.432.9
6-month21.625.626.026.723.123.323.424.826.529.229.231.6
12-month22.726.427.527.423.425.424.026.526.329.629.832.4
24-month23.628.927.528.825.725.025.426.829.930.930.831.3
Certificates of deposit19.224.524.023.820.020.620.520.726.727.024.529.7
Lending rates
Agriculture25.330.130.831.526.828.228.229.532.833.633.638.7
Export trade25.329.630.330.626.827.427.428.232.333.233.238.5
Manufacturing26.431.531.331.829.729.829.531.434.535.335.240.3
Mining and quarrying28.333.433.034.431.130.730.632.735.736.436.341.0
Construction23.331.532.833.330.730.530.432.735.736.336.541.6
Other sectors28.432.733.034.632.430.930.732.735.836.536.341.8
Source: Bank of Ghana.

Discount rates on financial instruments; end-period data.

Thirty-day Bank of Ghana instruments were introduced in February 1991.

Three and five-year Bank of Ghana instruments were introduced in November 1991.

Weighted average of monthly lending and deposit rates.

Source: Bank of Ghana.

Discount rates on financial instruments; end-period data.

Thirty-day Bank of Ghana instruments were introduced in February 1991.

Three and five-year Bank of Ghana instruments were introduced in November 1991.

Weighted average of monthly lending and deposit rates.

Table 35.Ghana: Balance of Payments, 1988-95(In millions of U.S. dollars)
19881989199019911992199319941995
Exports f.o.b.881.0808.3896.8998.0986.31,063.61,226.81,431.2
Cocoa462.0407.8360.6346.5302.5285.9320.2389.5
Other418.9400.5536.2651.5683.8777.7906.61,041.7
Imports f.o.b.-990.9-1,006.1-1,205.0-1,318.7-1,456.5-1,728.0-1,579.9-1,687.2
Oil-142.9-155.8-198.5-165.1-157.5-153.6-171.1-191.0
Non-oil-848.0-850.3-1,006.5-1,153.6-1,299.0-1,574.4-1,408.8-1,496.2
Trade balance-110.0-197.8-308.2-320.7-470.2-664.3-353.1-256.0
Services (net)-326.8-318.7-325.5-352.5-376.3-412.1-383.5-408.9
Freight and insurance-82.3-80.6-85.1-92.9-101.8-123.9-106.9-115.9
Investment income (net)-131.1-117.8-111.1-119.4-106.2-112.3-110.9-129.8
Other services-113.4-120.3-129.3-140.2-168.2-175.9-165.7-163.2
Unrequited transfers (net)347.3421.5415.7421.9470.2517.4471.8523.2
Official174.9219.4213.8202.4215.3256.2200.8260.0
Private172.4202.1201.9219.5254.9261.2271.0263.2
Current account balance-89.5-94.9-218.0-251.3-376.1-559.0-264.9-141.8
Capital account balance217.8222.4284.0391.5274.1630.1478.8492.1
Official capital (net)187.2192.0290.4356.6386.5370.2295.3170.5
Long-term loans273.0307.0322.4373.0311.6462.8312.1322.4
Inflows307.5343.9354.5410.6350.6508.7369.4397.1
Amortization-34.5-36.9-32.1-37.6-39.0-45.9-57.3-74.7
Medium-term loans-72.7-103.9-28.5-16.074.9-92.6-16.8-151.9
Inflows101.634.165.170.6155.4124.0113.2103.6
Amortization-174.3-138.0-93.6-86.6-80.5-216.6-130.0-255.5
Trust fund-13.1-11.1-3.5-0.4--------
Private capital (net)4.011.752.819.16.4106.3205.8259.2
Direct investments5.015.014.820.022.525.030.035.0
Other-1.0-3.338.0-0.9-16.181.3175.8224.2
Short-term capital (net)26.618.7-59.215.8-118.9153.6-22.362.4
Errors and omissions-3.852.031.0-22.2-30.0-50.2-66.3
Overall balance124.6127.5118.0171.2-124.341.2163.8284.0
Financing-124.6-127.5-118.0-171.2124.3-41.2-163.8-249.1
IMF (net)-45.54.4-47.782.2-64.5-1.5-82.8-65.3
Payments arrears-34.8-47.7-17.3---------34.9
Bilateral balances-1.414.8-14.1-23.71.312.53.23.0
Other-42.9-98.9-38.9-229.7187.5-52.2-84.2-186.8
Sources: Bank of Ghana; and Fund staff estimates.
Sources: Bank of Ghana; and Fund staff estimates.
Table 36.Ghana: External Trade Indices, 1988-95(1985 = 100)
19881989199019911992199319941995
Exports
Price index104.687.290.088.083.273.784.197.8
Percentage change-4.7-16.63.3-2.2-5.5-11.414.116.3
Volume index133.2146.6157.5179.3187.4228.2230.8231.5
Percentage change12.110.07.413.84.521.71.10.3
Value index139.3127.8141.8157.8156.0168.2194.0226.3
Percentage change6.9-8.210.911.2-1.27.815.316.6
Imports
Price index112.8113.6126.8124.1127.3127.0140.0151.8
Percentage change5.80.811.6-2.22.6-0.210.28.4
Volume index130.9131.9141.5158.3170.4202.6168.1165.5
Percentage change0.30.87.311.97.718.9-17.0-1.5
Value index147.6149.9179.5196.4217.0257.4235.3251.3
Percentage change6.11.519.89.410.518.6-8.66.8
Terms of trade92.776.771.070.965.458.060.064.4
Percentage change-9.9-17.2-7.5-0.1-7.9-11.23.47.3
Sources: Data provided by Ghanaian authorities; and Fund staff estimates.

Price and value indices are in terms of U.S. dollars.

Sources: Data provided by Ghanaian authorities; and Fund staff estimates.

Price and value indices are in terms of U.S. dollars.

Table 37.Ghana: Value, Volume, and Unit Price of Exports, 1988-95(In millions of U.S. dollars unless otherwise noted)
19881989199019911992199319941995
Cocoa beans422.3381.3323.8313.4276.8250.5295.0361.1
Volume (metric tons)200,904255,860247,380243,040223,774263,665238,269237,262
Unit value ($/ton)2,1021,4901,3091,2901,2379501,2381,522
Cocoa products39.826.436.833.125.635.425.228.4
Volume (metric tons)20,25014,94020,75621,74519,32822,83914,05013,864
Unit value ($/ton)1,9651,7701,7731,5211,3271,5501,7952,050
Sheanuts2.70.41.30.20.71.00.80.8
Volume (metric tons)20,0002,2354,1716003,1153,4443,0003,000
Value ($/ton)136170316335212278260260
Coffee0.90.90.60.40.91.01.21.2
Volume (metric tons)6006756808251,9081,6792,0402,000
Unit value ($/ton)1,5301,259853505493590602602
Timber and timber products106.280.2118.0124.2113.9147.4165.4190.6
Volume (cubic meters)545,778375,826370,000393,598406,662727,813780,000590,000
Unit value ($/cu. meter)195213319316280203212323
Gold168.5159.9201.7304.4343.4434.0548.6647.2
Volume (fine ounces)382,993420,096526,361834,986995,3771,210,4731,435,4151,689,470
Unit value ($/ounce)440381383365345358382383
Diamonds3.55.216.519.219.317.320.414.8
Volume (carats)305,787262,691636,371663,390690,408552,854717,419645,100
Unit value ($/carat)1220262928312823
Bauxite6.99.110.08.69.58.49.510.4
Volume (metric tons)299,939374,646368,629320,313399,155364,642451,802526,335
Unit value ($/ton)2324272724232120
Manganese8.811.714.220.216.413.99.66.4
Volume (metric tons)282,337284,645255,310281,195285,055309,122245,256200,000
Unit value ($/ton)3141567258453932
Residual oil16.919.528.619.719.214.217.717.3
Volume (metric tons)206,019216,616227,472205,442187,930140,588194,068156,007
Unit value ($/ton)82901269610210191111.2
Electricity73.682.688.596.095.669.156.453.0
Volume (million KWH)3,0463,3033,5563,6103,7633,2362,7122,456.0
Unit value ($/000 KWH)2425252725212122
Other30.931.056.758.164.971.777.0100.0
Source: Bank of Ghana.
Source: Bank of Ghana.
Table 38.Ghana: Direction of Trade, 1987-94(In percent)
ExportsImports
1987198819891990199119921993199419871988198919901991199219931994
Industrial countries79.480.980.983.981.577.464.465.573.777.173.565.968.764.661.259.3
France1.41.51.53.62.92.14.75.44.03.84.03.53.93.14.83.5
Germany, Federal
Republic of5.98.88.831.530.48.414.413.710.510.29.88.68.29.05.75.5
Italy0.96.06.02.22.81.92.94.84.33.75.24.24.65.92.97.9
Japan6.47.07.05.05.32.34.23.66.05.95.95.05.46.64.06.7
Netherlands9.620.120.14.85.66.23.44.43.35.25.84.74.83.24.44.1
United Kingdom19.117.617.613.610.412.47.912.124.424.119.520.421.017.217.315.5
United States13.29.69.613.112.13.316.011.712.412.412.09.810.010.211.56.6
Other22.910.310.310.211.940.810.99.88.811.811.29.710.89.410.69.5
Eastern European countries,
including former U.S.S.R.11.09.09.05.86.01.91.40.74.52.82.31.30.71.60.20.6
Rest of the world9.610.110.110.312.520.734.233.822.320.124.232.830.633.838.640.1
Source: IMF, Direction of Trade Statistics Yearbook, 1994.
Source: IMF, Direction of Trade Statistics Yearbook, 1994.
Table 39.Ghana: Services and Transfers Account 1990-95(In millions of U.S. dollars)
199019911992199319941995
CreditDebitCreditDebitCreditDebitCreditDebitCreditDebitCreditDebit
Total services and transfers519.4-429.2544.4-475.0613.9-519.7688.3-582.9-646.6-558.3703.2-588.9
Total services93.1-418.6110.3-462.8128.9-505.1156.3-568.3159.3-542.8164.3-573.2
Freight and merchandise insurance20.9-106.025.3-118.230.4-132.236.4-160.337.1-144.037.9-154.0
Other transportation20.0-45.126.6-49.530.6-59.445.9-68.346.8-69.747.8-71.1
Travel4.4-13.35.9-14.37.1-17.210.6-19.710.8-20.111.0-20.5
Investment income6.8-117.97.5-126.910.5-116.711.6-123.911.8-122.713.7-143.5
IMF charges---41.4---36.6---25.9---17.8---14.8---14.9
Interest medium term loans---20.2---24.6---24.9---26.9---30.7---39.7
Interest long term loans---47.4---52.4---53.6---60.1---59.0---71.6
Other official interest payments--2.2---0.5--2.9---8.2-2.8---1.3
Private suppliers’ credits---3.7---5.1---6.0------------
Banking loans---0.9-----------1.7-4.8---5.4
Profit and dividends---7.0---7.7---9.2---9.2---10.6---10.6
Government (n.i.e.)7.5-73.88.2-84.99.8-96.811.3-113.311.5-101.8---98.7
Other services33.5-62.536.8-69.040.5-82.840.5-82.841.3-84.542.1-86.1
Total transfers426.3-10.6434.1-12.2485.0-14.6532.0-14.6487.3-15.5538.9-15.7
Private206.0-4.1224.1-4.6260.4-5.5266.7-5.5276.5-5.5268.9-5.7
Official220.3-6.5210.0-7.6224.6-9.1265.3-9.1210.8-10.0270.0-10.0
Sources: Bank of Ghana; and Fund staff estimates.
Sources: Bank of Ghana; and Fund staff estimates.
Table 40.Ghana: Clearing Accounts Under Bilateral Payments Agreements, June 1990-December 1995
1990199119911992199319941995
JuneDec.JuneDec.Dec.1/JuneDec.JuneDec.JuneDec.JuneDec.
Active account (millions
of U.S. dollars) 2/30.142.451.863.234.438.633.125.820.817.517.517.514.7
Bulgaria9.38.68.68.68.68.68.68.68.68.68.68.68.6
China-3.2-0.91.91.2--0.6--------------
Cuba1.37.217.224.018.621.917.312.98.55.35.55.55.5
German Dem. Rep. 3/13.715.213.913.9-8.8-8.5-8.5-8.5-8.5-8.5-8.5-8.5--
Romania5.98.08.19.09.010.110.311.411.411.311.311.3--
Yugoslavia-2.0-3.2-3.20.70.70.70.80.60.60.60.40.40.4
Poland0.90.1--------------------
U.S.S.R.2.82.90.20.10.10.10.10.10.10.10.10.10.1
Czechoslovakia0.02.42.43.63.60.80.80.4----------
Hungary1.42.12.72.12.11.60.70.30.10.10.10.10.1
Inactive accounts (millions
of cedis) 4/167.7173.5182.5191.7191.7191.7191.7191.7191.7191.7191.7191.7191.7
China38.738.738.738.738.738.738.738.738.738.738.738.738.7
Egypt0.70.80.70.90.90.90.90.90.90.90.90.90.9