Inflation for September 2023 has dropped to 38.1% from the 40.1% recorded in August 2023.
This is the second consecutive drop in the inflation rate in 2023 as recorded at 40.1% and 38.1 for August and September 2023 respectively.
According to figures from the Ghana Statistical Service, both food and non-food inflation dropped.
Whilst food inflation declined to 49.4% from the 51.9% recorded in August 2023, non-food inflation also decreased to 29.3% from the 30.9% recorded in August 2023.
Inflation for locally produced items was estimated at a rate of 37.3% while that of imported products was 39.9%.
Government Statistician, Professor Samuel Kobina Annim, attributed the decline to the tight monetary policy measures by the Bank of Ghana.
At the regional level, North East recorded the highest inflation of 54.4% while Ashanti recorded the lowest inflation of 31.2%.
The Bank of Ghana’s framework for conducting monetary policy is Inflation Targeting (IT), in which the central bank uses the Monetary Policy Rate (MPR) as the primary policy tool to set the monetary policy stance and anchor inflation expectations in the economy.
The inflation figure for September 2023 is still high from the government’s revised figure of 31.3% at the end of the year, compared with a projection of 18.9% given when the 2023 budget was first presented in November 2022.
High inflation declines the purchasing power of people as they pay more for the same goods and services.