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Sub-Saharan Africa: high inflation continues to constrain economic activity

mm by RMB Africa Research
August 4, 2022
in News
Reading Time: 1 min read
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Sub-Saharan Africa: high inflation continues to constrain economic activity

high inflation continued to constrain economic activity. Source: ETM Analytics, Bloomberg

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Yesterday brought with it the monthly wave of Purchasing Managers Index (PMI) data.

There were no major surprises in terms of the releases. Similar to June, the sub-Saharan Africa PMI average remained buoyed just above the 50-point neutral market. Persistently high inflation continued to constrain economic activity and weighed on business sentiment. Ghana and Egypt are the only two countries whose PMI readings came in higher than the previous month. Despite coming in higher than June, Ghana’s PMI indicated a sixth consecutive month of deterioration in business conditions as new orders and output continue to fall.

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