Global growth continued to weaken in the second quarter of 2019, reflecting heightened policy uncertainty associated with the United States and China trade tensions, the prolonged Brexit negotiations and geopolitical factors, particularly in the Middle East.
These have weighed down business confidence, investment and trade growth. Incoming data from various surveys on global economic activity point to further weakness in the near-term. Weak global growth forecasts has instigated a dovish shift across major central banks and easing global financing conditions in the process.
In the medium to long-term, accommodative financial conditions in advanced economies and some gains in employment and wage growth, may provide some stimulus to global growth.On the domestic front, the strong growth momentum has been sustained since last year as indicated by the latest GDP growth estimates.
On inflation, the Ghana Statistical Service has revised the Consumer Price Index to reflect new weights, increased items in the CPI basket and a base year change in the computation of inflation. The resulting new measure of headline inflation for August 2019 of 7.8 percent fell below the central path of the Bank of Ghana’s medium term
inflation target of 8±2 percent.
