Ghana’s consumer inflation rate has dropped to 8% year-on-year in October, down from 9.4% in September, marking the tenth consecutive month of decline and the lowest level since June 2021.
According to Government Statistician Alhassan Iddrisu, food prices drove the overall decline in inflation. “Ghana’s disinflation process is firmly under way.
Price stability is returning, and key drivers that once fueled double-digit inflation are now losing momentum,” Iddrisu said.
The decline in inflation is attributed to a stable currency, easing fuel prices, and improved food supply conditions. Food inflation fell sharply to 9.5% in October from 11% in September, while non-food inflation also declined to 6.9% from 8.2%.
However, imported inflation edged up slightly to 7.8% from 7% due to global logistics and exchange rate adjustments.
Ghana’s central bank targets inflation of 8% with a margin of error of 2 percentage points either side.
The International Monetary Fund recently reached a staff-level agreement with Ghana’s authorities on the fifth review of its loan program, indicating progress in the country’s economic stabilization efforts.
