Inflation Drops to 3.2% in March
By Praisebell Rosemond Larbi
Ghana’s inflation rate continued its steady decline in March 2026, falling to 3.2%, according to the latest data released by the Ghana Statistical Service.
The figure represents a marginal drop from 3.3% recorded in February and a sharp decline from 22.4% in March 2025, marking a significant 19.2 percentage point decrease year-on-year.
The latest data underscores a sustained period of macroeconomic stability, with March marking the 15th consecutive month of disinflation since January 2025. The statistical agency noted that the current rate is the lowest recorded since the 2021 rebasing of the Consumer Price Index (CPI), reflecting a broad-based easing in price pressures across the economy.
Monthly Price Movements
Despite the downward trend in annual inflation, prices recorded a slight uptick on a monthly basis. The general price level increased by 0.1% between February and March 2026, indicating modest cost pressures within the period.
Food and Non-Food Trends
Food inflation continued its gradual decline, easing to 2.3% in March from 2.4% in February. On a month-on-month basis, food prices fell by 0.3%, offering some relief to households grappling with cost-of-living pressures.
Non-food inflation also edged down slightly to 3.9% from 4.0% in February. However, unlike food, non-food prices rose by 0.3% month-on-month, suggesting emerging price pressures in segments such as housing, utilities, and services.
Goods vs Services Inflation
A key driver of the overall decline was a sharp slowdown in goods inflation, which dropped to 1.7% in March from 3.2% in February. On a monthly basis, goods prices fell by 1.0%. Given that goods account for nearly three-quarters of the CPI basket, this decline significantly contributed to the easing of headline inflation.
In contrast, services inflation surged to 7.2% in March, up sharply from 3.7% in February. Month-on-month, services prices increased by 0.4%, highlighting rising cost pressures in sectors such as transport, education, and hospitality.
Local vs Imported Inflation
Inflation for locally produced goods rose to 4.9% in March from 4.5% in February, indicating persistent domestic cost pressures. Meanwhile, imported inflation dropped sharply into negative territory at -0.6%, down from 0.6% in February, suggesting easing external price pressures and possible gains from exchange rate stability.
Regional Disparities
Significant regional variations persist. The North East Region recorded the highest inflation rate, while the Savannah Region posted the lowest at -4.6%, reflecting price declines. These disparities are largely driven by differences in supply chains, transport costs, and market accessibility.
Outlook
The continued easing of inflation is expected to support consumer purchasing power and reinforce confidence in the economy. However, the sharp rise in services inflation and persistent regional disparities point to underlying structural challenges that require policy attention.
The March CPI release reinforces Ghana’s progress in stabilising prices, though analysts say close monitoring of emerging trends, particularly in the services sector will be crucial in sustaining the gains achieved so far.
