Ghana inflation slows for eighth month in a row

Ghana's annual inflation rate slowed for the eighth month in a row in August, reaching its lowest level since October 2021, the government statistics service said on Wednesday.

Good news for Ghana, where inflation continued to decline in August for the eighth consecutive month.

It now stands at 11.5 percent year-on-year, down from 12.1 percent in July. That’s the lowest level in almost four years.  

Both food and non-food prices eased last month, the government says, but food remains the largest driver of inflation. 

The gold-, oil- and cocoa-producing West African nation is emerging from its worst economic crisis in decades. The local cedi currency is up over 20 percent against the dollar so far this year.

In July, the country’s central bank showed faith in the improving situation by lowering its key interest rate to 25 percent - a cut of 300 basis points, the largest cut in its history.  

Government officials say they remain optimistic that they will hit the year-end inflation target of 11.9 percent ahead of schedule.