Inflation dips sharply to 18.4% in May

Ghana’s year-on-year inflation rate fell sharply to 18.4% in May 2025, down from 21.2% recorded in April, according to data released by the Ghana Statistical Service (GSS).

This marks the fifth consecutive monthly decline in inflation this year, reinforcing a sustained slowdown in the pace of price increases across the country.

The 18.4% figure is the lowest inflation rate Ghana has recorded since February 2022.

Government Statistician Dr. Alhassan Iddrisu attributed the significant decline primarily to reductions in transportation fares, driven by falling fuel prices at the pump, as well as a drop in non-food inflation.

“Fuel prices came down in May, and that directly influenced transport fares, which in turn had the biggest impact on the downward movement in inflation,” Dr. Iddrisu noted during the media briefing.

At the regional level, disparities remain. The Upper West Region recorded the highest inflation at 38.1%, while the Ahafo Region registered the lowest at 14.5%.

The latest figures offer some relief to consumers and policymakers alike, suggesting that ongoing fiscal and monetary measures may be helping to stabilize the economy.

However, analysts warn that sustained efforts will be needed to keep inflation on a downward path amid global and domestic uncertainties.