Ghana’s inflation rate fell to 6.3 percent in November, down 1.7 percentage points from the 8 percent recorded in October, according to data released Wednesday by the Ghana Statistical Service (GSS). The figure marks the lowest inflation rate since the rebasing of the inflation basket in 2021 and represents the 11th consecutive monthly decline since December last year.
Government Statistician Alhassan Iddrisu told reporters that the steady drop from 23.8 percent in December 2024 to 6.3 percent in November 2025 shows a sustained shift in prices that signals Ghana is firmly on the path to macroeconomic stability. The remarkable turnaround follows years of economic volatility that saw inflation peak at nearly 24 percent just a year ago.
Food inflation declined by 2.9 percentage points to 6.6 percent in November, while non-food inflation also fell to 6.1 percent from the previous month’s level of 6.9 percent. Food disinflation was identified as a key factor driving the overall decline, easing cost pressures on households that had struggled with rising food prices throughout 2024.
Inflation for locally produced and imported items stood at 6.8 percent and 5 percent, respectively, compared to 8 percent and 7.8 percent a month earlier. Iddrisu explained that inflation for imported items has been easing faster than that of locally produced items due to various factors, including the strengthening of the cedi against major foreign currencies and a possible drop in the prices of imported goods in their countries of origin.
Goods inflation fell from 9.3 percent to 7.3 percent, while services inflation slowed to 3.8 percent from 4.6 percent, reinforcing the view that cost pressures are dissipating across the entire Consumer Price Index (CPI) basket. The trimmed mean inflation rate, which excludes extreme price movements, also declined to 6.2 percent, signalling underlying price stability.
The current inflation rate sits comfortably within the Bank of Ghana’s target range of 6 to 10 percent and is almost half of the end year projection of 11.5 percent by the government and the central bank. Monetary policy decisions and exchange rate management by the Bank of Ghana have contributed significantly to the disinflation process, according to the government statistician.
In November, Ghana’s central bank cut its benchmark lending rate by a further 350 basis points to 18 percent as inflation continued to ease. The sustained decline in inflation is boosting expectations that the central bank will continue cutting interest rates in 2026, providing further relief to borrowers and businesses.
Regional disparities in inflation remain significant. North East recorded the highest regional inflation rate of 12.2 percent, followed by Eastern with 10.8 percent, Volta with 9.6 percent, Western with 8.3 percent, and Western North with 7.2 percent. Meanwhile, Savannah region recorded the lowest rate at negative 0.02 percent, suggesting prices actually fell in that region.
Five regions contributed about 79.1 percent of overall inflation, including Greater Accra, Eastern, Ashanti, Central and Western regions, with contributions of 25.4 percent, 17.6 percent, 17.1 percent, 9.6 percent and 9.5 percent respectively. Local supply conditions, transport costs, and market access appear to be driving these geographical gaps.
The top five drivers of November inflation were food and non-alcoholic beverages, housing utilities, clothing and footwear, recreation and culture, and alcoholic beverages and tobacco, which contributed points of 2.82, 1.25, 0.79, 0.45 and 0.31 respectively. Overall prices increased by just 0.9 percent between October and November.
Iddrisu recommended that businesses take advantage of lower inflation to invest in efficiency, strengthen local supply chains, reduce waste, and pass cost savings to consumers where possible. He also encouraged households to use this period of falling inflation to budget more intentionally, avoid unnecessary spending, and save.
Government should maintain fiscal discipline, focus resources on keeping food prices stable, and work to reduce regional disparities by improving storage, irrigation, and transport systems, the government statistician noted. Inflation is measured monthly using data on prices of 307 items in the CPI basket purchased by households from 57 markets with 8,337 outlets.
The cedi has rallied almost 35 percent this year on the back of strong cocoa and gold prices, providing crucial support for the disinflation process. Higher cocoa and gold prices have contributed to a more favorable exchange rate, which in turn has helped ease imported inflation pressures that had driven up consumer prices in previous years.
