Ghana’s Inflation drops by 2.9% in October 2023

According to the Ghana Statistical Service, Ghana's consumer inflation slowed to 35.2% year on year in October from 38.1% in September of 2023. Reuters said that “Ghana faces its worst economic crisis in a generation and is currently in talks with bilateral and commercial creditors to restructure its debts”. The Statistical Service of Ghana reports that food inflation stood at 44.8 % while non-food inflation stood at 27.7% for October, 2023. This is an improvement compared to the inflation recorded in September, 2023 which compositely stood at 38.1% comprising food inflation of 49.4% and non food inflation 29.3%. The declining consumer inflation is indicative of the recovery of Ghana’s economy albeit at a slow pace. Ghana’s inflation rose to an all time high of 54.1% late 2022 driven primarily by the global shocks of COVID 19 pandemic and Russia’s war in Ukraine. The October 2023 CPI will however be the lowest in 14 weeks with consumer practice rising only by 0.6% compared to 1.9% in the month’s prior. This pales in comparison to the Central Bank’s target band of 6% to 10%.