It is a time of renewed promise in Ghana. Steady economic growth throughout the past decade and the recent discovery of oil have raised hopes that Ghana is on track to join the ranks of the lower middle-income countries. The country is also making progress towards meeting many of its Millennium Development Goals.But continued growth cannot be taken for granted. Long-standing challenges in Ghana include diversifying the economy beyond traditional exports such as gold, cocoa and timber. New sources of income from the oil and gas industry are welcome, but intensified specialization in natural resources production could affect the competitiveness of Ghana’s other industries. This could undermine progress towards building dynamic competitive advantages in more knowledge- and technology-intensive activities. These risks make it very important to have public policies in place that help raise productivity in non-oil industries, build productive capacity, and promote economic diversification and structural change[...] Read more