Ghana’s private sector recorded growth in October 2025 for the first time in four months, signaling a gradual recovery in business activity and employment across key sectors.
According to the latest data from the S&P Global Purchasing Managers’ Index (PMI), the index rose to 50.3 in October from 49.8 in September, moving above the 50.0 threshold that separates growth from contraction.
The improvement reflected a return to growth in output and new orders, alongside sustained increases in employment and inventories. Analysts attribute the recovery to improved customer demand and reduced selling prices, which boosted product affordability.
“The expansion hopefully sets the tone for further improvements over the rest of 2025 as new orders continue to rise,” said Andrew Harker, Economics Director at S&P Global Market Intelligence.
The report noted that new orders increased for the ninth consecutive month, while firms continued to reduce their prices amid muted cost inflation. Wage pressures also eased to the joint-weakest level since early 2021.
Despite the rebound, business confidence dipped to a six-month low in October. However, 77% of surveyed firms said they expect higher output over the next year, supported by anticipated stability in exchange rates and further demand growth.
Employment levels also improved, extending a nine-month streak of job creation. Companies cited success in filling vacant positions and expanding purchasing activity to meet rising orders.
S&P Global added that while exchange rate fluctuations affected input costs, some firms benefited from the cedi’s appreciation, which helped moderate price pressures.
Economists say the October data points to a cautiously optimistic outlook for Ghana’s private sector as it continues to navigate currency volatility and subdued global demand.
