Ghana’s inflation rate fell sharply to 5.4 per cent year-on-year in December 2025, marking the 12th consecutive month of disinflation, official data released by the Ghana Statistical Service (GSS) has shown.
Presenting the December inflation figures in Accra, the Government Statistician, Dr Alhassan Iddrisu, said the Consumer Price Index (CPI) stood at 261.7 in December 2025, up from 240.8 in December 2024, reflecting a sustained slowdown in price increases across the economy.
“This means that, on average, goods and services cost 5.4 per cent more than they did in December 2024,” Dr Iddrisu explained. He described the latest figures as a significant milestone, noting that inflation has declined steadily from 6.3 per cent in November 2025 and from a high of 23.8 per cent in December 2024, representing a dramatic 18.4 percentage point reduction within a year.
According to him, the continued downward trend signals improving macroeconomic conditions and a firm return towards price stability after a prolonged period of elevated inflation.
Monthly Inflation Remains Moderate
On a month-on-month basis, inflation stood at 0.9 per cent in December 2025, indicating a modest rise in prices between November and December. Dr Iddrisu said the data suggested that while short-term price movements persist, they are occurring within a stable and declining long-term inflation trend.
Food Inflation Sees Major Relief
A detailed breakdown of the data showed broad-based easing across food, non-food, goods and services, as well as both locally produced and imported items.
Food inflation recorded one of the most significant declines, falling to 4.9 per cent in December 2025, from 6.6 per cent in November and 27.8 per cent in December 2024, a 22.9 percentage point reduction over the year.
“This matters because food accounts for about 43 per cent of household spending. Lower food inflation directly eases pressure on household budgets,” Dr Iddrisu noted.
Despite the sharp annual decline, food prices rose by 1.1 per cent month-on-month, largely due to seasonal factors. He cautioned that short-term price increases could still occur even as overall inflation pressures continue to ease.
Non-Food, Goods and Services Inflation Also Decline
Non-food inflation also moderated significantly, easing to 5.8 per cent in December, down from 6.1 per cent in November and 20.3 per cent a year earlier, representing a 14.5 percentage point year-on-year decline. Month-on-month non-food inflation stood at 0.6 per cent.
“These trends show broad-based disinflation, rather than improvements driven by a single component,” Dr Iddrisu emphasized.
Further analysis showed easing inflation across major food sub-categories such as vegetables, cereals, fish and meat products, with some items recording outright price declines by the end of the year.
Goods inflation, which accounts for nearly three-quarters of the CPI basket, slowed to 5.8 per cent in December 2025, from 7.3 per cent in November and 23.1 per cent in December 2024, amounting to a 17.3 percentage point annual reduction.
“Because goods dominate household consumption, this slowdown provides relief where it matters most to consumers,” Dr Iddrisu said.
Goods prices rose by 0.8 per cent month-on-month, while services inflation edged up to 4.5 per cent in December, from 3.8 per cent in November. Despite the increase, services inflation remained far below the 15.4 per cent recorded in December 2024, marking a 10.9 percentage point decline over the year. Month-on-month, services prices increased by 0.9 per cent.
Outlook
The December 2025 inflation figures reinforce growing optimism about Ghana’s economic recovery, with sustained disinflation offering relief to households and businesses alike. Analysts say maintaining fiscal discipline and stable macroeconomic policies will be critical to sustaining the gains and anchoring inflation firmly within single digits in the months ahead.
