Producer price inflation falls by 180bps in February
Ghana’s economy has experienced some significant changes in the first two months of 2023, with the Producer Price Inflation and Consumer Price Inflation both taking a notable downturn in February.
The Producer Price Inflation, which measures the average change over time in the prices received by domestic producers to produce their goods and services, fell to 50.8% in February 2023 from 52.6% in January 2023.
Similarly, the Consumer Price Inflation nose-dived to 52.8% in February from 57.9% in January.
The month-on-month change in the PPI between January 2023 and February 2023 was 7.0%, which is a significant decrease.
According to the Ghana Statistical Service, the producer price inflation in the Industry less (minus) Construction sector decreased to 57.9% in February 2023 from 58.8% in January 2023.
However, the rate in the construction sector increased to 21.1% in February 2023 from 20.4% in January 2023, and the Services sector’s rate increased from 10.6% in January 2023 to 13.4% in February 2023.
The Transportation and Storage (67.6%), Accommodation and Food Service Activities (66.5%), Mining and Quarrying (61.2%), Electricity and Gas (57.4%), and Manufacturing (55.7%) recorded rates above the national average.
In contrast, Information and Communication Activities recorded the lowest rate of 4.5% in February 2023.