Services Sector Posts Mixed Inflation as ICT and Media Drive October Price Pressures
Ghana’s services sector recorded a mixed set of producer price movements in October 2025, as strong inflation in ICT, media and selected transport activities contrasted with notable declines in warehousing, publishing and accommodation services.
According to the latest Producer Price Index (PPI) released by the Ghana Statistical Service (GSS), overall services inflation stood at –0.3 percent, signalling a general easing of producer prices across the broader sector despite steep increases in a handful of fast-growing industries.
Although the headline number dipped into negative territory, several sub-sectors linked to digital content, broadcasting, information services and transport experienced pronounced price hikes. Analysts attribute this to technological shifts, persistent demand for digital products, and elevated operational costs within aviation and maritime services.
High-growth industries push prices upward
Among the 13 service sub-groups tracked by the GSS, the strongest year-on-year price increases in October were recorded in:
• Motion picture, video and television production – 51.9%
• Water transportation – 32.7%
• Air transportation – 22.6%
• Programming and broadcasting activities – 11.8%
• Postal and courier services – 8.1%
• Food and beverage service activities – 6.5%
Sector watchers say the steep rise in media and content-related prices reflects heightened investment in advanced production technology, increased distribution expenses across digital platforms and growing consumer appetite for online entertainment.
Aviation and maritime transport inflation also mirrored global cost patterns, including higher fuel prices, insurance premiums and equipment maintenance charges.
Traditional service segments see falling prices
While the digital economy accelerated, several traditional service categories saw a decline in producer prices. The worst affected included:
• Warehousing and support transport activities –12.4%
• Publishing –7.4%
• Accommodation services –3.2%
• Telecommunications – 0.0% (flat)
Improved logistics efficiency and infrastructure upgrades have reduced warehousing costs, while publishing continues to suffer from declining demand for print materials. In the telecoms space, aggressive competition and a shift toward high-volume data packages kept prices flat.
Hotels and guesthouses also reported slower patronage compared with earlier months, largely due to subdued business travel and tighter corporate budgets. Many companies are reportedly choosing virtual meetings over travel-dependent engagements, dampening demand for accommodation facilities.
Transport sector shows mixed outcomes
Transport-related services presented sharp contrasts. Road-based land transport recorded modest inflation of 1.9 percent, while air and water transport registered significantly higher gains. At the same time, some freight handling and logistics support services posted negative inflation, reflecting ongoing competitive pressure within Ghana’s logistics corridor, supported by port digitalisation and improved handling systems.
Economists point to structural shifts
Economists argue that the divergent inflation trends point to broader structural transformation in Ghana’s economy.
The rapid expansion of digital, media and technology-driven services, they say, is occurring alongside waning demand and increased competition in traditional sectors. The services sector remains a major contributor to national output, meaning its inflation patterns often mirror deeper shifts in investment behaviour, productivity and labour dynamics.
Despite the year-on-year decline, month-on-month services inflation edged up to 0.3 percent in October, suggesting mild upward adjustments in pricing as businesses respond to cost pressures from energy, digital infrastructure and labour.
The GSS has urged service providers to adopt data-driven approaches to remain competitive in an evolving market environment and to strengthen customer engagement strategies.
