Ghana’s consumer inflation experienced a decline for the fourth consecutive month in April

Ghana’s consumer inflation (GHCPIY=ECI) slowed for a fourth consecutive month in April, decreasing to 21.2% year on year from 22.4% in March, as reported by the statistics service on Wednesday.

At a news conference, government statistician Alhassan Iddrisu stated that the recent decline was influenced by a reduction in both food and non-food inflation.

Iddrisu stated that food inflation continues to be the primary factor influencing prices, noting that it remains high.

Ghana’s economy has been facing ongoing challenges with inflation remaining consistently high, exceeding the central bank’s target of 8% by a margin of 2 percentage points on either side.

In March, central bank governor Johnson Asiama stated that a stringent monetary policy approach was essential to reduce consumer inflation in the West African nation known for its gold, oil, and cocoa production.

He announced a surprise rate hike, stating that its effect on inflation will be reevaluated prior to the next rate meeting in May.

During his budget speech in March, Finance Minister Cassiel Ato Forson stated that significant spending cuts would enable Ghana to reduce inflation to 11.9% by the year’s end.