Omanghana
Ghana’s annual consumer inflation declined to 4.6% in July 2026, down from 5.3% in June, marking the first slowdown after three consecutive monthly increases.
The Ghana Statistical Service announced the latest Consumer Price Index figures on Thursday, August 6, 2026. The 0.7-percentage-point decline indicates that prices continued to rise but at a slower annual rate.
On a month-to-month basis, consumer prices increased by 0.1% in July, compared with a 0.2% rise in June.
Government Statistician Dr. Alhassan Iddrisu attributed the moderation to slower price increases across food, non-food, imported goods and services.
Food inflation fell from 3.9% in June to 3.1% in July. Food and non-alcoholic beverages nevertheless remained the largest contributor to headline inflation, accounting for 32.4% of overall price movements across the 13 CPI divisions.
Non-food inflation eased marginally from 6.3% to 6.1%, remaining higher than the rate recorded for food items.
Inflation for services also declined, falling from 9.4% in June to 8.5% in July. Despite the improvement, services continued to record one of the highest rates of price growth.
Locally produced goods registered inflation of 5.9%, significantly above the 2.0% recorded for imported products. Domestic items reportedly accounted for 86.7% of the overall inflationary pressure, suggesting that local production and distribution conditions have become increasingly important in determining prices.
The slowdown in imported inflation, from 2.3% in June to 2.0% in July, was partly linked to relative stability in the Ghanaian cedi and softer external price pressures.
Regional differences remained significant. The North East Region recorded the country’s highest inflation rate at 10.8%, while Bono East registered negative inflation of 3.8%, indicating that average prices there were lower than during the corresponding period in 2025.
The July headline rate is below the Bank of Ghana’s medium-term inflation target of 8%, which has a tolerance band of two percentage points on either side. The official target range is therefore 6% to 10%.
Continued low inflation could strengthen expectations of further reductions in the central bank’s policy rate. However, any decision will also depend on exchange-rate movements, economic growth, fiscal conditions and risks to future price stability.
Lower inflation does not necessarily mean that goods and services have become cheaper. It means prices are rising more slowly than they did a year earlier. Many households may therefore continue to experience financial pressure because the previous increases remain embedded in current price levels.
Sustaining the improvement will require continued exchange-rate stability, responsible public spending and measures addressing domestic food production, transportation and service costs.
Source: Omanghana
