Domestic economic activity has moderated somewhat, the Bank of Ghana has revealed.

High frequency indicators monitored by the Central Bank signalled some moderation in economic activity in the third quarter, relative to the first two quarters of the year.

The Bank’s Composite Index of Economic Activity (CIEA) contracted by 1.2% in September 2022, compared with 11.1% growth, a year earlier.

The main indicators, it pointed out that dragged down the index were domestic VAT, ports activity, and cement sales.

The Bank’s survey of Business and Consumer confidence conducted in October 2022 continued to point to softening economic sentiments. Consumer confidence dipped on account of rising inflation and uncertainty about future economic conditions.

Business sentiments also deteriorated on concerns about rising operational costs, sharp currency depreciation, and weak consumer demand.

These survey findings, the Bank of Ghana, said were aligned with the decline in Ghana’s Purchasing Managers’ Index (PMI), which eased further to 44.0 in October 2022 from 45.6, a month earlier.