Ghana Inflation Declines to Single Digit 9.4 Percent, for the First Time Since 2021

Ghana has reached a major economic milestone as the country’s annual inflation rate fell to 9.4 percent in September 2025, according to data released by the Ghana Statistical Service. This marks the first time in four years that inflation has returned to single digits, signaling easing price pressures and a measure of stability after years of steep increases. The new figure represents a sharp decline from 11.5 percent recorded in August, reflecting a steady downward trend that has persisted for nine consecutive months. The Ghana Statistical Service attributed the decline to reduced food prices and general easing across several components of the consumer price index. Officials highlighted that improved food supplies, stability in the exchange rate, and fiscal measures undertaken by government all played roles in the latest drop. This achievement comes after Ghana endured one of its most challenging economic periods in recent history, when inflation surged to over 54 percent in December 2022, the highest level in more than two decades. The spike was driven by global supply shocks, a weakened cedi, and fiscal constraints, which placed immense strain on households and businesses. The return to single-digit inflation is therefore seen as a significant step in the country’s recovery and a reflection of ongoing economic reforms under the IMF-supported program. Analysts point to a combination of earlier monetary tightening by the Bank of Ghana, fiscal consolidation, and improved market conditions as key drivers of the disinflation trend. In recent months, the Bank of Ghana has cut its policy rate to stimulate growth while expressing confidence that inflation is moving closer to its medium-term target. However, policymakers warn that risks remain, especially from potential shocks in food prices, global energy markets, and currency pressures that could affect import costs. For citizens, the development provides some relief from rising living costs that have affected food, transport, and utilities for several years. Businesses are also expected to benefit from improved price stability and greater confidence in planning and investment decisions. Market watchers have described the decline as a positive signal for investor confidence and an indication that Ghana is gradually regaining economic stability. The Ghana Statistical Service is expected to provide more detailed insights into the drivers of September’s inflation in its full report, while the Bank of Ghana will give updated policy guidance in its forthcoming monetary policy statement. For now, the drop to 9.4 percent is seen as a clear sign that Ghana’s disinflation process is taking hold, marking one of the strongest indications yet that the economy is on a more stable path.