Ghana’s Inflation Drops to 12.1% in July — Lowest Since October 2021

Ghana’s headline inflation rate fell to 12.1% in July 2025, down from 13.7% the previous month, marking the seventh consecutive month of decline and the lowest rate recorded since October 2021, according to new data from the Ghana Statistical Service (GSS).

The continued disinflation trend is largely attributed to falling prices of both food and non-food items, which have provided some relief to households and businesses alike.

Food inflation dropped by 1.2 percentage points to 15.1%, while non-food inflation saw a sharper decline of 1.9 percentage points, settling at 9.5%.

Regionally, the Upper West Region recorded the highest inflation rate at 24.8%, though that figure is a significant improvement from the 32.3% recorded in June. The region’s inflation remains more than double the national average.

Conversely, the Central Region registered the lowest inflation in the country at 7.7%, well below the national figure.

Economic analysts say the downward trend could open the door for the Bank of Ghana to consider monetary policy adjustments, including a possible reduction in the benchmark interest rate, should the trend persist.

The decline in inflation also comes as a boost to government efforts aimed at stabilizing the economy following months of fiscal tightening, improved exchange rate performance, and targeted food supply interventions.

If sustained, the easing inflation trajectory may enhance consumer confidence and ease pressure on household budgets, particularly in the lead-up to the 2026 general elections.