Ghana Inflation Rate Slows for the First Time in 17 Months

Ghana’s annual inflation rate eased to 16.4 percent in January of 2015, from 17 percent in the previous month as the government reduced petroleum prices due to the drop in crude oil cost in the world market.

In spite of the decline, inflation rate remains well above the central bank’s target of 13 percent plus or minus two percentage points. A year earlier, inflation was recorded at 13.8 percent. 

In January, food prices advanced an annual 6.9 percent, following a 6.8 percent rise in December. Prices for mineral water, soft drinks and fruit registered the highest increase (+ 16.7 percent), followed by coffee, tea and cocoa (+16 percent) and sugar, jam, honey and chocolate (+15.6 percent). Vegetables recorded the smallest increase (+0.6 percent).

Year-on-year, cost of housing, water, electricity and gas advanced 32.3 percent, down from a 35.2 percent in the preceding month. Transport prices went up 31.1 percent and prices of culture and recreation surged 20.4 percent. Other positive contribution came from education (+20.2 percent); clothing and footwear (+18.9 percent); furnishing and household equipment (+17.7 percent) and hotels and restaurants (+13.9 percent).

On a monthly basis, consumer prices advanced 3.4 percent, up from 1 percent in December, mostly due to a 5.7 rise in food prices.  

Ghana Inflation Rate Slows for the First Time in 17 Months

Carolina Cunha |
2/16/2015 5:28:43 PM