Ghana’s annual consumer inflation rate declined to 21.2% in April 2025, down from 22.4% in March, marking the fourth consecutive month of easing price pressures, according to data released by the Ghana Statistical Service .
Government Statistician Alhassan Iddrisu attributed the downward trend to moderating increases in both food and non-food prices. Despite the deceleration, food inflation remains the primary driver of overall inflation, underscoring persistent challenges in stabilising prices of essential commodities.
The current inflation rate remains significantly above the Bank of Ghana’s target range of 6% to 10%. In response, the central bank, under Governor Johnson Asiama, implemented a surprise interest rate hike in March, aiming to tighten monetary policy and curb inflationary pressures. The effectiveness of this measure is scheduled for reassessment during the upcoming monetary policy meeting in May.
Finance Minister Cassiel Ato Forson has expressed optimism that the government’s fiscal consolidation efforts, including substantial spending cuts announced in March, will contribute to reducing inflation to 11.9% by the end of the year. These measures are part of a broader strategy to restore macroeconomic stability amid ongoing economic challenges.
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