Need to revise our economic figures

• Ghana Statistical Service head office

Economic development at the national level usually takes recognition of various statistical figures in various sectors of the economy to give the overall picture about a country’s economic development, indicating whether the economy is doing well or not and thereby giving us an idea about the general welfare in the country.

In any modern economy, statistical figures are very important and relevant to national economic growth. It is the figures churned out in various sectors of the economy which helps us to get the general picture of economic performance in the country.

ACCURATE FIGURES

For this reason it is important to ensure that accurate figures are utilised at every point in time. It is also important to point out changes in figures at various points in time, so as to be able to reflect previous changes in the economy. It is equally important to take note any envisaged changes that are likely to occur in current conditions and thereby revise any relevant figures that ought to be dealt with, so as not to lose any evidence-based data that helps to reflect the economic welfare and performance of the country.

If changes are necessary but are not carried out, the economic picture created may not reflect the truth as far as economic performance is concerned. This is why as an example if deteriorating conditions in the past are not included in the revision of statistical data, the poor performance may not reflect in national economic performance for which reason things may be taken for granted that all is well as far as the economy is concerned.

IMPROVEMENTS

In the same way, if in previous times there are improvements in certain sectors of the economy, this improvement should be made to reflect in statistical data, so that everybody will know that there are changes in the economy for the better. This is why accurate statistical data are necessary, if we want to measure economic performance or national economic welfare.

It is necessary to ensure that the figures are not changed to paint a wrong picture or deceive the public with regards to the actual performance of the country. That is why economic performance in every country should not be based on guess work but actual statistical data made available by a relevant and competent body charged with a responsibility of ensuring that only genuine statistical figures are churned out to reflect economic performance.

STATISTICAL DATA

The statistical data here should be sector-based so that each specific sector’s performance can be known and analysed in the most appropriate way. If this is not done, the figures thrown out and given out for analysis may be deceitful. We, therefore, expect only competent bodies charged with such responsibility to come out and give relevant figures for that purpose. Fortunately in Ghana, there is a competent body such as the Ghana Statistical Service (GSS) with the duty to provide relevant data regarding various sectors of the country to help in national planning. Indeed, the GSS helps to guide government in its performance and also offers advice on what should be done to improve economic performance.

It is for this reason that the GSS is resourced by the nation to carry out population and housing census for the country. Population and housing census, for example, is used for many economic reasons. If for nothing at all, it helps us to know the total number of people that government needs to cater for at any point in time. Today, we know that Ghana has a population slightly above 30 million. The figure helps the government to know the number of people it has to cater for.

POPULATION AND HOUSING CENSUS

Furthermore, the result of the population and housing census helps us to know the structure of the country. We are, therefore, able to know the size of the old-age group, that is those above 60 years, and also know those in the working range as well as those under 18 years. In the same way, we are able to know the number of females in the country in relation to the male population. All these help the government to plan well for the country not only for the present time but for the future also.

Another significance of a population and housing census carried out in the country by the GSS is the number and types of housing units that we have in the country. Towards this end, the nation is able to know the number of housing units it possesses as well as substandard housing units that are found in various parts of the country. Among other things, the rural population compared to the urban one is also known, therefore, making it possible for the government to know and plan its urban and rural projects.

NUMBER OF SCHOOLS

We are also able to know, therefore, the number of schools, hospitals, markets and recreational sectors that ought to be constructed for various number of people found in the country.

Thus, available and reliable statistical data is needed by all countries for proper planning. Whenever there is a need for changes in the statistical figure, this will be known through studies carried out by the GSS and that’s why it’s important to ensure that decisions are made to reflect figures reliably provided by the competent body responsible for providing data for the country.

COMPETENT BODY

As has been pointed out already the competent body responsible for this noble work is the GSS which is made up of competent professionals who know what to do at any point in time and whose skills are comparable to excellent professionals in any part of the world. This means that no planning can be carried out without the GSS. Also, when there is the need for changes to reflect economic performance, this should be based on the figures provided by the GSS.

This is why the Ministry of Finance has announced its decision to update its debt sustainability analysis (DSA) and Gross Domestic Product (GDP) projections for 2022 to reflect positive economic developments in 2021. The revision which will also capture the medium-term projections about the economy is based on the official provisional 2021 fourth quarter and overall 2021 annual GDP data released by the GSS on April 20, 2022.

REAL GDP

According to the GSS, real GDP expanded by 7.0 per cent in the fourth quarter of 2021 compared to the 4.3 per cent growth recorded in the corresponding period of 2020. Similarly, non-oil real GDP in the fourth quarter of 2021 was said to have expanded by 7.6 per cent compared to 5.7 per cent for the same period in 2020.

What all this means is that, it has become necessary for some changes to be effected so that real economic and financial performance will be reflected by the data provided by the GSS. This is what every forward-looking nation is required to do, so that economic performance would not be based on guess work but actual performance provided by reliable statistical data provided by GSS.

By Dr. Kofi Amponsah-Bediako

Contact email/whatsApp address of author:

Pradmat201@gmail.com (0553318911)