Inflation hits 29.8% in June

The country’s inflation rate rose to a 19-year high in June at 29.8 per cent from 27.6 per cent in May, data from the Ghana Statistical Services (GSS) has revealed.

Relative to May 2022, year-on-year inflation increased by 2.2 percentage points in June 2022 and a month-on-month inflation dropped by 0.9 percentage points over the same period, while month-on-month inflation fell from 4.1 per cent in May to 3.0 per cent in June.

Inflation rate in December 2003 stood at 29.77 per cent.

Government Statistician, Professor Samuel K. Annim, who disclosed this in Accra yesterday, said the increase in the June inflation rate was influenced by the rise in food inflation.

He said food inflation increased by 0.437 percentage points to 30.7 per cent in June from 30.1 per cent in May with the average over the last month at 17.5 per cent with a month-on-month inflation of 2.3 per cent.

Prof.Annim said nine subclasses under food recorded inflation rates higher than the national average of 29.8 per cent.

“This was distantly led by oil and fats (58.0 per cent), water (43.2 per cent) and cereal products (38.4 per cent),” he said.

Vegetables (19.7 per cent) fruits and nuts (24.2 per cent), tea (25.1), ready-made food (28.0 per cent) recorded inflation rates below the national average of 29.8 per cent.

The Government Statistician stated that non-food inflation rose by 0.563 percentage points to 29.1 in June from 25.7 per cent in May, while the 12 month average stood at 15.3 per cent and the month-on-month Non-food inflation was 3.6 per cent.

“Six Transport (41.6 per cent), Household and Equipment and Maintenance (39.6 per cent), Housing, Water, Electricity and Gas, (38.4 per cent), Personal Care and Miscellaneous Goods (31.7 per cent), Recreation, Sports and Culture (31.3 per cent) and Food and Non-Alcoholic Beverages (30.7 per cent) out of the 13 divisions recorded inflation rates higher than the national average of 29.8 per cent,” Prof.Annim, said.

Products such as Education (4.4 per cent), Insurance and Financial Services (5.8 per cent) Health (12.8 per cent) Information and Communication (14.5 per cent), Restaurants, Accommodation and services (20.2 per cent) recorded inflation below the national average of 29.8 per cent.

He said on year-year basis, the difference between food inflation (30.7 per cent) and Non-food (29.1 per cent) was 1.6 percentage points, adding that on month-on-month basis, non-food inflation records a higher rate of 3.6 per cent relative to food (2.3 per cent), leading to 1.3 percentage point difference.

On regional inflation, the Government Statistician said the Eastern Region recorded the overall highest inflation of 35.8 per cent, followed by Western Region 33.9 per cent and Central Region 31.6 per cent, Greater Accra 30.9 per cent, BrongAhafo 28.2 per cent and Upper West 27.8 per cent.

He said Upper East recorded the lowest inflation rate of 21.0 per cent, Volta 23.8 per cent, Northern 25.7 per cent and Ashanti 27.2 per cent.

BY KINGSLEY ASARE