Ghana’s Consumer Confidence climbs up as power supply stabilises – Study
Ghana’s Consumer Confidence has risen as power supply, exchange rate and inflation stabilise, the latest study from Nielson Consumer Confidence Index (CCI) indicates.
According to the report made available to ghanabusinessnews.com, this rise is due to retailers’ perceived view on improvements in the ease of doing business in Ghana, an increase in consumer spend in stores, and growing consumer willingness to try new products.
The study points out that Ghana’s positive outlook for jobs rose 13 percentage points from the second quarter, followed by personal-finance sentiment (77 per cent), which increased eight percentage points, and immediate-spending intentions (42 per cent), which jumped six percentage points.
“Ghanaian consumers also display more positive sentiment about job prospects but remain price conscious in today’s high-inflation environment, in which 60 per cent of consumers base their product choice on price and affordability. Combined with this are a stable GDP growth outlook and business views at their most favourable levels since the second quarter of 2014,” Nielsen East and West Africa MD, Abhik Gupta was cited as saying in the report.
According to the report half of Ghanaian respondents said they had spare cash – an increase of 16 percentage point from the second quater.
The report further noted that there is a sharp contrast in Nigeria’s Consumer Confidence as it is faced with a series of fiscal and climate setbacks.
Nigeria’s three consumer confidence indicators have declined from the second quarter. Immediate-spending intentions declined the most, dropping 13 percentage points to 35 per cent of consumers who say the current time is a good/excellent time to buy what they need. The outlook for jobs declined six percentage points to 58 per cent, and personal-finance sentiment declined six percentage points to 75 per cent, the study showed.
“Nigerian market conditions remain extremely constrained, following the slump in commodity prices – in particular oil. Fuel and power supply issues have also plagued the economy, as have the foreign-exchange crisis and the devaluation of Nigeria’s currency, the Naira,” Gupta explained in the report.
Pamela Ofori-Boateng
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