Ghana’s Growth Slows to 5.1% in May- GSS

Ghana’s economy grew by 5.1 per cent in May 2026, marking continued expansion but a slowdown from the 6.6 per cent recorded in May 2025, according to the latest Monthly Indicator of Economic Growth (MIEG) released by the Ghana Statistical Service (GSS). The 1.5 percentage-point decline in the growth rate indicates that economic activity remained on an upward path, although the pace of expansion was slower than it was a year earlier.

The GSS stressed that the moderation in growth should not be interpreted as an economic contraction. Rather, the latest figures show that the economy remained larger than it was in May 2025, but expanded at a more measured rate. The services sector remained the strongest contributor to growth, expanding by 7.2 per cent in May, compared with 7.5 per cent during the corresponding period in 2025.

Information and communication activities were among the key drivers of the sector’s performance, highlighting the increasing role of digital services and communication-related businesses in economic activity. Services alone accounted for more than half of the overall economic growth recorded during the month, maintaining its position as Ghana’s leading engine of expansion.

However, the performance of agriculture weakened considerably. The agricultural sector recorded 3.6 per cent growth in May, down sharply from 9.8 per cent a year earlier. The significant moderation could have broader implications given the sector’s importance to employment, rural livelihoods and food production. If the slower agricultural performance persists, it could place pressure on incomes in farming communities and potentially affect domestic food supply and prices.

The industry sector also recorded slower growth, expanding by 4.2 per cent, compared with 4.6 per cent in May 2025. Mining and quarrying were the principal drivers of industrial activity, reflecting the continued contribution of extractive industries to overall economic performance. The May figures therefore point to an economy that is still expanding, but with growth becoming less broad-based across the major sectors.

While the continued strength of services provides some support to overall economic activity, the marked slowdown in agriculture and the modest easing in industry growth remain areas to watch as the year progresses. The latest data also underscore the importance of sustaining growth across productive sectors, particularly agriculture and industry, to ensure that economic expansion translates into stronger employment, household incomes and improved livelihoods.

Overall, Ghana’s 5.1 per cent growth in May represents continued economic expansion, although the slower pace compared with a year earlier signals a moderation in momentum that could shape the country’s economic performance in the months ahead.

By: Joyce Owusu