January inflation dips to 10.3%

Consumer inflation for January has registered a sharp dip to 10.3 percent from 11.8 percent in December, 2017, representing 1.5 percentage points fall.

This is the lowest in five years since February 2013.

The consumer price index (CPI) measures the change over time in the general price level of goods and services that households acquire for the purpose of consumption.

At a press briefing, the Acting Government Statistician,Mr Baah Wadieh observed that the sharp decrease in inflation is due to a base drift effect.

The food and non-alcoholic beverages’ group recorded an inflation rate of 6.8 percent, representing 1.2 percentage points lower than the rate recorded in December, 2017.

Six subgroups, which were the price drivers of the food and non-alcoholic beverages group recorded inflation rates higher than the group’s average rate of 6.8 percent.

These were; fruits recording 9.2 percent, vegetables 8.4 percent, coffee, tea and cocoa 8.2 percent, mineral water, soft drinks and others 7.7 percent, food products 7.4 percent, and meat and meat  products 7.3 percent.

The non-food group recorded inflation rate of 12.0 percent, compared to the 13.6 percent recorded for December, 2017.

Five groups recorded rates higher than the non-food group’s average rate of 12.0 percent.

Transport recorded the highest inflation rate of 17.9 percent, followed by clothing and footwear with 16.7 percent, recreation and culture with 13.7 percent, miscellaneous goods and services with 12.7 percent and furnishing, household equipment and routine maintenance with 12.1 percent.

At the regional office, inflation rate ranged from 7.8 percent in Upper East Region to 12.1 percent in Upper West Region.

Four regions, Upper West, Brong Ahafo, Ashanti and Greater Accra, recorded inflation rates above the national average rate of 10.3 percent.

The inflation rate for imported items was 2.1 percentage points higher than that of the locally produced items of 9.7 percent.

By Joshua W. Amlanu