Ghana wrapped up 2025 with a significant economic milestone as headline inflation dropped to 5.4% in December, marking the twelfth consecutive month of decline. This latest figure represents a sharp fall from 6.3% in November and a dramatic year-on-year drop from 23.8% in December 2024.
The Ministry of Finance described the development as a major win for the economy, highlighting the growing confidence it brings to households and businesses. “Prices are rising much more slowly than a year ago, giving households and businesses greater stability to plan, spend, and invest with confidence,” the Ministry stated.
Food inflation also saw a notable improvement, easing to 4.9% from 6.6% the previous month. This decline is expected to relieve pressure on household budgets, especially for lower-income families.
The December figures mark the lowest inflation rate recorded since the 2021 price rebasing, reinforcing a sustained shift in price trends and strengthening Ghana’s macroeconomic outlook heading into 2026.
Economists and policymakers are optimistic that the trend will support broader recovery efforts, including job creation, industrial growth, and access to affordable credit. The Bank of Ghana is expected to maintain its cautious stance to ensure inflation remains within target while supporting domestic investment.
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