Inflation rises to 5.5% as transport, services costs climb

Ghana’s inflation climbed to 5.5 per cent in October, up from 5.2 per cent in September, the Ghana Statistical Service (GSS) said on Wednesday, November 4, the third monthly rise in a row.

The rise was driven by non-food items, led by transport, housing and utilities, rather than food. Food inflation slowed to 2.8 per cent from 4 per cent, while non-food inflation rose to 7.9 per cent from 6.2 per cent.

“In very simple language, of every one Ghana cedi price rise in October 2026, about 76 pesewas came from non-food items, and 24 pesewas came from food,” he said.

Inflation has now gone up every month since July, when it stood at 4.6 per cent. It reached 5 per cent in August and 5.2 per cent in September.

The October rate is still 2.5 percentage points lower than a year earlier, when inflation stood at 8 per cent.

Services inflation jumped to 11.5 per cent from 8.3 per cent. Goods inflation eased to 3.8 per cent from 4.2 per cent.

“Services are now rising about three times as fast as goods,” Dr Iddrisu said.

Transport recorded the highest rate of the 13 spending divisions in the consumer basket, at 14.1 per cent, up from 5.7 per cent in September. Transport prices rose 8 per cent within the month alone.

That jump followed the 8 per cent rise in lorry fares that the Ghana Private Road Transport Union (GPRTU) agreed with the Ministry of Transport, which took effect on Saturday, September 26.

Inflation for housing, water, electricity, gas and other fuels was 10.5 per cent. That division was the single largest contributor to the headline rate, at 24.4 per cent.

Food and non-alcoholic beverages accounted for 24.3 per cent and transport for 22.5 per cent. “Just these three divisions out of the 13 divisions contributed about 70% to October 2026 inflation,” Dr Iddrisu said.

On a monthly basis, prices fell by 0.1 per cent between September and October, after rising 1.1 per cent the month before. Food prices dropped 2 per cent over the month.

Food inflation stood at 9.5 per cent in October 2025. At 2.8 per cent, it has fallen by more than two-thirds in a year.

Fresh tomatoes recorded the steepest annual price rise of any item, at 119.3 per cent. Shrimps followed at 88.8 per cent and ginger at 88.2 per cent.

Prices of parking space and related services rose 47.2 per cent, and mangoes 45.3 per cent.

Some staples are cheaper than a year ago. Guinea corn was down 28 per cent, maize 27.2 per cent, foreign apples 24.5 per cent and lime 23.7 per cent.

Inflation for locally produced items rose to 6.9 per cent from 6.4 per cent. Imported inflation was unchanged at 2.4 per cent.

Local items accounted for 86.4 per cent of October’s inflation.

Ashanti had the highest regional rate, at 9.7 per cent. Eastern followed at 7.8 per cent, then Ahafo at 6.8 per cent and Central at 6.2 per cent.

The Northern Region recorded the lowest rate, at minus 0.5 per cent. That means average prices there were lower than a year earlier.

“Where you live actually changes what you pay. In other words, inflation is not the same everywhere in Ghana,” Dr Iddrisu said.

The October figure remains below the Bank of Ghana’s medium-term target of 8 per cent, plus or minus 2 percentage points. The bottom of that band is 6 per cent.

The central bank’s Monetary Policy Committee (MPC) held the policy rate at 14 per cent on Thursday, September 24, its third hold in a row.

In its September statement, the committee said it expected inflation to move up into the band over the next few quarters.

It named rising ex-pump petroleum prices and their link to transport fares among the upside risks, along with higher utility tariffs and a stronger US dollar.

The MPC meets again from Monday, November 16, and will announce its decision on Wednesday, November 18.

Finance Minister Dr Cassiel Ato Forson is due to present the 2027 Budget to Parliament on Thursday, November 12. It will set out the government’s growth and inflation targets for next year.

Dr Iddrisu said the regional and item-level breakdowns should help families budget, help firms price their costs and help government target support where prices are rising fastest.