GSS calls for smarter use of data to tackle inflation
The Ghana Statistical Service (GSS) has urged government and policymakers to utilize detailed sub-sector data in designing more targeted responses to inflation and industrial policy.
This call follows the release of the May 2025 Producer Price Index (PPI), which showed a sharp drop in producer price inflation to 10.2 percent, marking Ghana’s fourth consecutive month of disinflation at the producer level.
According to the GSS, while the broad decline in producer inflation is encouraging, it masks varied sector-specific trends that require nuanced and strategic intervention.
Mining and quarrying recorded the highest year-on-year inflation at 13.7 percent, followed closely by manufacturing at 10.1 percent, and electricity and gas at 8.9 percent. Construction and accommodation and food services posted annual increases of 7.4 percent and 6.5 percent respectively.
Transportation and storage, however, registered a 4.8 percent decline in year-on-year inflation, the only sub-sector to experience deflation on that metric.
In terms of monthly changes between April and May 2025, transportation and storage saw the sharpest drop at 13.5 percent, followed by accommodation and food services at 9.2 percent. Mining and manufacturing both recorded declines of 4.8 percent. Notably, the electricity and gas sector was the only major sub-sector to post a price increase, rising by 4.6 percent.
The GSS reported that mining and manufacturing alone accounted for 78.7 percent of the overall monthly decline in producer price inflation, underscoring their dominant influence on the broader trend.
The GSS noted that “while this signals a welcome shift in input costs, such data must be used more strategically.”
The agency warned that relying on aggregate inflation figures without appreciating the sectoral dynamics may result in ineffective or misaligned policy responses.
It advised that government tailor its policy tools, particularly those targeting industrial support, trade, and monetary management, based on where inflationary or deflationary pressures are most intense.
Beyond technical policy considerations, the GSS also called for improved public education on economic indicators. It suggested that citizens should be better informed about what producer price inflation means, how it is calculated, and how it ultimately affects household living costs and national development.
The agency believes that increased transparency in economic communication is key to boosting public confidence in the country’s economic direction.
