Inflation has risen marginally to 42.2% in May from the previous rate of 41.2% in April 2023.
The increase in inflation can be attributed to soaring food prices. The annual price growth also accelerated to 42.2% compared to 41.2% in April.
Food inflation saw a sharp rise to 51.8% in May, up from 48.7% in April. On the other hand, non-food prices experienced a slight deceleration with a growth rate of 34.6% in May, down from 35.4% in April.
These updates were given by Government Statistician, Samuel Kobina Annim in Kumasi on Wednesday, June 14. According to Prof Annim, prices rose by 4.8% during the month. The region with the highest inflation rate was Western North, while the region with the lowest inflation rate was Ashanti.
The increase in inflation and food prices could have significant implications for the economy and the average Ghanaian consumer.
High inflation erodes the purchasing power of consumers, leading to a decrease in their standard of living. It also affects businesses as they have to cope with rising input costs.
The government and relevant authorities will need to closely monitor the situation and implement appropriate measures to mitigate the impact of rising inflation.
This may include measures to control food prices, such as improving agricultural production and distribution, as well as managing the overall macroeconomic environment to ensure stability and sustainable economic growth.
By Vincent Kubi