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First with the News

Ghana Inflation Hits 21-year High Of 33.9%

September 14, 2022
in Economy, Top Stories
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Ghana’s Inflation Drops To 23.5% In First Decline Since August
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By John Ikani

Ghana’s consumer inflation peaked at 33.9% in August, the highest since 2001, despite a historic rate increase by the nation’s central bank.

Relatedreading

Zimbabwe: Central Bank Introduces New Banknotes To Stabilise Financial System

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The statistics service on Wednesday said prices for imported items rose by 35.2% in August, against 33.4% for local items. Transport, which includes fuel, saw the second-highest price hikes, behind housing, water, electricity and gas.

Oils and fats were the biggest driver of food inflation, coming in at 34.4% year on year in August.

The Central Bank of Ghana raised rates by 300 basis points to 22% last month at an emergency meeting to address the economy’s rapid deterioration.

It was the largest lending rate hike in the country’s history.

The government is also in the early stages of negotiating a support package from the International Monetary Fund (IMF).

Some Ghanaians have attributed the economic situation to mismanagement and corruption.

But the government insists it is due to the combined effects of the global pandemic and Russia’s invasion of Ukraine as well as U.S. and Chinese economic slumps.

Tags: breakingCentral Bank of GhanaHeritageheritage timesheritagetimesmediaInternational Monetary Fund (IMF)latestnewsthe heritage timesthtthtafricatop stories
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