3.7% inflation: Government statistician urges government to invest in food systems especially storage, irrigation and transport

Government Statistician Dr. Alhassan Iddrisu has urged the government to maintain fiscal discipline and increase investment in critical food systems infrastructure following a rise in Ghana’s inflation rate in May 2026.

Speaking after the release of the latest inflation figures, Dr. Iddrisu emphasized the need for sustained investment in storage facilities, irrigation projects, and transportation networks to improve food distribution and help stabilize prices across the country.

He also called on policymakers to address regional disparities in market access, noting that inflation trends continue to vary significantly across different parts of Ghana.

The appeal comes after Ghana’s inflation rate increased to 3.7 percent in May 2026, up from 3.4 percent in April. Despite the increase, inflation remains significantly lower than the 18.4 percent recorded in May 2025, representing a decline of 14.7 percentage points year-on-year.

According to data from the Ghana Statistical Service, overall prices increased by 1.1 percent between April and May 2026.

Food inflation recorded the sharpest increase, rising to 3.3 percent in May from 2.2 percent in April. Food prices also increased by 2.0 percent on a month-on-month basis, highlighting growing pressure on household budgets.

Non-food inflation, however, declined slightly to 4.1 percent in May from 4.2 percent in April, although non-food prices still increased by 0.4 percent over the same period.

Inflation for goods rose to 1.4 percent in May from 1.1 percent in April, while goods prices increased by 0.8 percent month-on-month. Given that goods account for nearly three-quarters of the Consumer Price Index (CPI) basket, the increase is expected to have a significant impact on consumers.

Services inflation also edged higher, rising to 9.9 percent in May from 9.6 percent in April. Prices for services increased by 0.9 percent between April and May.

Inflation for locally produced items increased to 5.0 percent from 4.7 percent, while imported inflation rose to 0.9 percent from 0.5 percent during the same period.

Dr. Iddrisu advised businesses to improve operational efficiency, strengthen local supply chains, and reduce avoidable costs. He also encouraged firms to pass on any savings to consumers where possible.

For households, he recommended careful budgeting and prudent spending habits.

He urged consumers to closely monitor their expenditures, prioritize essential needs, avoid unnecessary spending, and build savings whenever possible to cushion themselves against future economic uncertainties.

The latest data also revealed significant regional disparities in inflation. The North East Region recorded the highest inflation rate at 10.1 percent, while the Savannah Region registered the lowest rate at negative 3.0 percent.

According to Dr. Iddrisu, differences in local supply conditions, transportation costs, and market accessibility may be contributing to the wide variation in inflation levels across the country.

He stressed that addressing these structural challenges will be essential to sustaining price stability and ensuring inclusive economic growth nationwide.