Ghana’s Producer Price Inflation drops sharply to 18.5% in April
Ghana’s Producer Price Inflation (PPI) fell sharply to 18.5% in April 2025 from 24.4% in March, marking the third consecutive month of decline, according to data from the Ghana Statistical Service (GSS).
This significant 5.9 percentage point drop reflects easing cost pressures across key production sectors, driven largely by slowdowns in mining and quarrying as well as manufacturing.
Mining and quarrying contributed 10.6 points to April’s PPI, while manufacturing added 6.9 points. Together, these sectors accounted for nearly 95% of the overall PPI figure.
On a month-on-month basis, the GSS recorded deflation of 0.8% in April, compared to a 0.6% increase in March, meaning producers received lower prices for goods and services.
Year-on-year inflation fell in major sectors, with mining and quarrying dropping from 35.4% in March to 24.3% in April, manufacturing from 22.8% to 19.6%, and transport and storage from 20.4% to 16.2%.
The GSS noted that “falling input costs at the producer level may lead to lower consumer prices if businesses pass on the savings, offering potential relief to inflation-weary consumers.”
However, the report cautioned that “lower factory gate prices could squeeze profit margins,” urging businesses to “use the current environment to reassess operational costs, localize sourcing, and cautiously explore growth opportunities.”
Describing the trend as “a window for stabilization and responsible investment,” the GSS encouraged both policymakers and private sector players to “capitalize on the easing inflation for sustainable economic progress.”
