The industry sector of the economy is expected to show some more improvement in its contribution to the GDP following a recovery, recording 11.5 percent in the first quarter of this year, compared to negative 1.1 in 2016. This is according to economist, Dr. Ebo Turkson.
Analyzing some figures released by Ghana Statistical Service(GSS) on the 2017 first quarter performance to GDP, Dr. Tuckson stated that the stable power condition of the country could be the main contribution to the growth in the industry sector.
“The energy crisis was the main reason for the negative growth to industrial sector contribution to GDP in the first quarter of last year. So once the energy crisis improve you will expect same in output. You know the energy crisis was an issue that we were all contending with,” he noted
He explained that electricity, which is a sub-sector under industry is the main fuel for all the other subsectors under the industry.
“The electricity sub-sector is the main supplier of power to manufacturing and all the other subsectors. This means that we will see some growth once the power sector is stabilized. That is why we saw a negative growth when the energy sector crisis was severe in 2016” he said.
He was optimistic the output from industry will continue to improve as the power supply becomes reliable.
The 2017 1Qtr output
In the figures released by the GSS, the sectoral contribution in the first quarter of 2017 were Agriculture 14.3 percent, Industry, 26.7 percent and Services with 59.0 percent. This is compared to the same period in 2016 which were Agriculture 12.2 percent, Industry ant 27.7 percent, and Services at 60.1 percent.
Under Industry, Mining and Quarrying in the first quarter of 2017recorded 32.8 percent, manufacturing electricity, construction, and Water and Sewerage recorded 5.9 percent, 2.9 percent, 2.9 percent, and 0.9 percent respectively.
This is compared to the same period in 2016 which were electricity 24.6 percent, water and sewerage 11.1 percent, manufacturing 8.6 percent and construction 0.3 percent, while Mining and Quarrying recorded -13.7 percent.
By: Lawrence Segbefia/citibusinessnews.com/Ghana