Gov’t misses 2024 inflation target as December rate hits 23.8%

The government has failed to meet its 2024 inflation target, with inflation for December 2024 rising to 23.8%, surpassing the target of 15%.

This increase, which marks the fourth consecutive monthly rise, is primarily driven by a surge in food prices. December’s inflation rate rose slightly from 23.0% in November, with food inflation seeing a significant jump.

Food inflation climbed from 25.9% in November to 27.8% in December, while non-food inflation saw a slight decrease from 20.7% to 20.3%.

The rise in food prices has been a major contributor to the overall increase in inflation, highlighting the continued strain on household budgets.

Government statistician Professor Samuel Kobina Annim explained, “In December 2024, average prices of goods and services went up by 23.8%, indicating that, on a year-on-year basis, specifically between December 2023 and December 2024, general price levels of goods and services increased by 23.8%.”

Professor Annim further detailed that the inflation rate for December was 0.8 percentage points higher than the November 2024 rate of 23.0%, marking a modest rise from month to month.

He also noted the significant gap between food and non-food inflation, with food inflation standing at 27.8% and non-food inflation at 20.3%.

The latest data shows that food inflation has been rising steadily, from 25.9% in November to 27.8% in December.

In contrast, non-food inflation has slightly decreased, from 20.7% to 20.3%. This change signals that food costs are the primary factor driving the recent inflationary pressure.