According to the latest data released by the Ghana Statistical Service on Consumer Price Index (CPI) on Wednesday, January 10, 2024, inflation in the country has dropped for the fifth consecutive month, recording a rate of 23.2% for December 2023.
This means that the general price level in December 2023 was 23.2% higher than in December 2022.
The month-on-month inflation between November 2023 and December 2023 was reported at 1.2%. This indicates a slight increase in prices within this period.
Looking at the specifics, the food inflation rate stood at 28.7% in December 2023, showing a substantial increase in food prices. On the other hand, non-food inflation recorded a rate of 18.7%, indicating a relatively lower increase in non-food prices.
The CPI data also revealed that inflation for locally produced items was slightly higher at 23.8%, while inflation for imported items remained at 21.9%.
On a regional level, the Eastern region experienced the highest food inflation rate of 51.3%, reflecting significant price hikes in food products. Conversely, the Upper East region recorded the lowest food inflation rate of 18.8%, indicating more stable food prices.
Among the 16 regions, Greater Accra placed 14th with a food inflation rate of 22.2%. This suggests that although food prices in Greater Accra have increased, they have done so at a slower rate compared to other regions.
The consecutive drop in the inflation rate over the past five months is a positive development for the economy as it indicates a slowdown in the overall rate of price increases.
However, the relatively high food inflation rate, particularly in the Eastern region, raises concerns about affordability and access to essential food items.
By Vincent Kubi