- Inflation drops to 3.2% as disinflation trend strengthens Ghana’s macroeconomic outlook
Ghana’s inflation rate slowed further in March, reinforcing signs of sustained macroeconomic stabilisation and strengthening expectations of a more predictable price environment for businesses and investors.
Data released by the Ghana Statistical Service showed that year-on-year inflation eased to 3.2% in March 2026, down marginally from 3.3% in February and sharply lower than the 22.4% recorded a year earlier. The latest reading marks one of the steepest annual declines in recent years and underscores the depth of Ghana’s disinflation cycle.
The March figure is also the lowest inflation rate recorded since the 2021 rebasing of the Consumer Price Index and extends the country’s disinflation streak to 15 consecutive months, signalling a sustained easing of price pressures across the economy.
However, underlying price dynamics suggest the adjustment remains gradual. On a month-on-month basis, consumer prices rose by 0.1%, indicating that while inflation is slowing, the overall price level continues to edge upward.
Food prices, a key driver of household expenditure, provided some relief. Food inflation eased slightly to 2.3% from 2.4% in February, while prices in the category declined by 0.3% month-on-month. The moderation is expected to support real incomes and consumer demand in the near term.
Non-food inflation also edged lower to 3.9%, although prices in that segment rose by 0.3% over the period, pointing to lingering cost pressures outside the food basket.
A significant driver of the disinflation trend was the sharp slowdown in goods prices. Inflation for goods fell to 1.7% in March from 3.2% in February, with prices declining by 1.0% on a monthly basis. Given the dominant weight of goods in the CPI basket, this decline is likely to translate directly into lower retail pricing pressures and improved operating margins for businesses.
By contrast, inflation in the services sector accelerated sharply to 7.2% in March, nearly doubling from 3.7% in February. The rise highlights persistent cost pressures in areas such as transport, education and hospitality, suggesting that service-driven inflation may become the next focal point for policymakers.
The latest data also points to a shift in the sources of inflation. Imported inflation fell into negative territory at -0.6%, down from 0.6% in February, reflecting easing global price pressures and improved exchange rate stability. However, inflation for locally produced goods rose to 4.9% from 4.5%, indicating that domestic cost structures remain a key source of inflationary pressure.
Regional disparities in inflation remain pronounced. The North East Region recorded the highest inflation rate, while the Savannah Region saw a sharp decline in prices, posting inflation of -4.6%. Analysts attribute the divergence to variations in supply chains, transport costs and market access across regions.
The continued moderation in inflation is expected to support purchasing power, reduce uncertainty for businesses and reinforce Ghana’s broader economic recovery trajectory. For policymakers, the data strengthens the case for a more accommodative stance, although rising services inflation and persistent domestic cost pressures suggest that risks to price stability have not fully dissipated.
