The Ghana Statistical Services (GSS) has unveiled the Index of Industrial Production (IIP) which measures the short-term changes in production volume from the country’s industrial sector.

The IIP provides information to gauge industrial performance and forecast future economic performance.

This was revealed in the Media Sensitization Workshop on Index of Industrial Production (IIP) which was organized by the Ghana Statistical Services at the GSS Census Secretariat Conference Room in Accra.

In his presentation, the Head of Industrial Statistics Section of the Ghana Statistical Services, Dr. Anthony Krakah said that IIP is particularly use by Government to develop economic policies. “Businesses also make use of lIP data to plan their production, inventory management, and supply chain logistics.”, he added.

Dr. Anthony Krakah explained that the lIP is the index use to compare the industry sector performance of different countries, giving an understanding of where a country stands on a global scale in terms of industrial output.

He further gave an overview of the Index of Industrial Production (IIP), Gross National Product (GDP), and Producer Price index (PPI).

The Index of Industrial Production (IIP) is an index that measures the short-term changes in the volume of production in the industry sector of an economy, whiles the Gross National Product (GDP) is the total monetary value of all goods and services produced within a country’s borders in a specific period, quarterly or yearly and the Producer Price Index (PPI) measures the average change over time in the selling prices of goods and services as received by domestic producers.

Index of Industrial Production (IIP) is measured as follows:

  • lIP computation is based on a fixed basket of products.
  • Firms are the primary source of data.
  • Firms are selected based on the Integrated Business Establishment Survey.
  • Variables for the computation of lIP are weights and volume of products.
  • The rate of growth is the relative change in lIP between periods.
  • Two reference periods for the computation of PPI are the weight reference (industry and product shares) and the index reference for volume comparison.
  • The computation is done from a dual time perspective, quarterly and annually.

Source: SonShinne News/ Jessica Johnson

One thought on “Ghana Statistical Services Unveils Latest Index of Industrial Production (IIP) Data.

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