The Bank of Ghana’s updated Composite Index of Economic Activity (CIEA) recorded a strong annual growth of 33.1%in May 2021, relative to the contraction of 10.2% percent recorded in the corresponding period of 2020.
The sharp increase broadly reflects some base-drift effects as well as improvement in industrial production activities, domestic consumption, pick up in import activities, steady rise in construction activities and a rise in air-passenger arrivals, during the period.
Also, the Ghana Purchasing Managers Index, which gauges the rate of inventory accumulation by managers of private sector firms and measures dynamics in economic activity, pointed to some sustained levels of business activity in June 2021.
However, the latest confidence surveys by the Bank of Ghana reflected mixed sentiments.
While, consumer sentiments softened on the back of a variety of factors including the implementation of the recently announced revenue measures contained in the 2021 Budget, business sentiments remained somewhat broadly unchanged due to expectations of improvement in company growth prospects.
Meanwhile, current developments indicate moderation in price pressures during the second quarter of 2021.
Two readings since the last MPC meeting showed significant decline in headline inflation from 10.3% in March 2021 to 7.5% in May 2021, before ticking up to 7.8% in June 2021.
This trend has pushed down inflation to below the central path of the medium-term target band.
Latest Stories
-
I commend PURC for taking courageous step to fine ECG board members – Kwame Pianim
12 mins -
Financing assurance secured from bilateral creditors to aid 2nd review funding for Ghana – IMF Africa head
43 mins -
Man who set himself on fire outside Trump’s Manhattan hush money trial dies
58 mins -
Fuel purchase issues have nothing to do with personal interest – Egypa Mercer
1 hour -
ISRQ2024: Theorose School wins Championship with 0.5 points, heads to Canada
1 hour -
Use your voice, talents, skills to advocate for positive change – UniMAC VC tells graduates
1 hour -
Livestream: Newsfile discusses ‘dumsor’, Ex-MASLOC CEO jail and Election 2024
1 hour -
Otumfuo STEM Festival launched to find problem-solvers, promote science education
2 hours -
Irene Logan ties the knot in colourful ceremony
2 hours -
Alliance with other parties, not a merger – Alan Kyerematen
2 hours -
Ghana’s Mohammed Fuseini scores in Randers 2-2 draw Odense BK
2 hours -
We are behind schedule on flood control programme – Oppong Nkrumah
2 hours -
Jennifer Kankam scores five against Tala’ea El Gaish in ZED FC’s big win in Egyptian league
3 hours -
You won’t start at Hearts of Oak – Charles Taylor tells Erling Haaland
3 hours -
People have lost patriotism, passion for the nation – Sulemana Braimah
3 hours