Ghana’s Inflation Eases Slightly for Second Month in February

Ghana’s consumer inflation dropped for the second month, reaching 23.1 per cent in February. According to the Ghana Statistical Service, this was down from 23.5 per cent in January.

Government Statistician Samuel Kobina Annam said the decline was due to a slowdown in non-food inflation. However, food prices continued to rise. He noted that food inflation had fallen consistently for four months, dropping by two percentage points between November 2024 and February 2025. Despite this, February’s inflation rate was still the third-highest in the past 10 months.

The year-on-year inflation rate as measured by the CPI was 23.1 percent in February 2025. This rate of inflation for February 2025 is the percentage change in the Consumer Price Index (CPI) over the twelvemonth period, from February 2024 to February 2025. The monthly change rate for February 2025 is 1.3 percent, Ghana Statistical Service outlined.

The Cedi’s stability in recent months reportedly helped reduce the cost of imported goods. This contributed to the overall slowdown in price increases. However, inflation remains well above the Bank of Ghana’s target range of 6 to 10 per cent. The central bank has kept its key interest rate at 27 per cent to curb inflation while supporting economic growth.

Inflation rates varied across regions. The Volta Region recorded the lowest at 18.1 per cent, while the Upper West Region had the highest at 35.5 per cent. Food and non-alcoholic beverage inflation stood at 28.1 per cent. Non-food inflation was recorded at 18.8 per cent.

Ghana’s economy is still struggling, especially in key sectors like cocoa and gold. In September 2024, the government increased the farmgate price for cocoa by nearly 45 per cent. This was meant to boost farmers’ incomes and curb smuggling. Officials hoped it would improve crop output and stabilise the market.

Although inflation is easing, the central bank has warned that returning to its target range will take time.

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