Ghana’s year-on-year inflation slowed to 12.1% in July 2025, down from 13.7% the previous month, marking the seventh consecutive monthly decline and the lowest rate recorded since October 2021.
According to data released by the Ghana Statistical Service (GSS) on August 4, the drop was largely driven by a slowdown in the prices of foodstuffs and other consumer items. The Government Statistician, Dr. Alhassan Iddrisu, described the trend as a sign that inflationary pressures that have gripped the economy in recent months are easing.
Between June and July 2025, the overall price level increased marginally by 0.7%.
Food and Non-Food Trends
Food inflation fell by 1.2 percentage points to 15.1% year-on-year, with prices rising just 0.6% month-on-month. Non-food inflation also saw a significant drop, falling by 1.9 percentage points to 9.5%, though prices rose 0.7% compared to June.
Goods inflation declined to 14.2%, down 1 percentage point from June, while services inflation fell more sharply—dropping 3.1 percentage points to 6.2%. Despite the year-on-year decline, services recorded the highest month-on-month increase at 1.3%.
Local vs Imported Inflation
Inflation for locally produced goods and services stood at 12.9%, still higher than the 10.0% recorded for imported items. However, both categories are on a downward trajectory. Imported inflation dropped by 2.5 percentage points, and local inflation by 1.1 points.
Month-on-month, the price level for local goods rose by 0.9%, while imported items edged up by just 0.1%.
Regional Inflation Disparities
The Upper West Region continued to post the highest regional inflation rate at 24.8%—more than double the national average—despite falling from 32.3% in June. The Central Region recorded the lowest inflation at 7.7%.
The GSS data suggests that while inflation is cooling nationally, significant disparities remain at the regional level.
With inflation now at a nearly four-year low, the downward trend offers some relief to households and businesses grappling with high living costs. However, persistent inflation in certain regions and higher food price levels continue to pose challenges for broader economic stability.
