The country’s inflation rate inched up for the third consecutive months to 9.7 per cent August, but within the Bank of Ghana’s target band.
The year-on-year inflation rate rose from 7.8 per cent in June to 9.0 per cent in July and subsequently to 9.7 per cent in August.
The month-on-month inflation between July and August, 2021 was 0.3 per cent.
Government Statistician, Professor Samuel K. Annim who disclosed this at press conference in Accra yesterday said food and housing drove the August 2021 inflation rate.
He said food inflation rose to 10.9 in August from 9.5 per cent in July with a month-on-month food inflation of 0.2 per cent.
Food inflation began to trend up in June after it fell from 6.5 per cent in April to 5.4 per cent in May and inched up to 7.3 per cent in June, 9.5 per cent in July and 10.9 per cent in August.
He said food products such as cocoa drinks with year-on-year inflation rate of 15.7 per cent, cereal 15.5 per cent, milk, dairy products and egg, 13.1 per cent and vegetables 11.6 per cent drove the food inflation.
“Inflation for August 2021 indicates that food contributes more than half to overall inflation, when combined with housing more than two-thirds, and further including transport more than four-fifths,” Prof. Annim, said.
Prof. Annim said the inflation rate for transport in August stood at 15.2 per cent.
He said non-food inflation inched up marginally to 8.7 per cent in August from 8.6 per cent in July and the drivers included housing, water, electricity and gas which recorded inflation rate of 20.12 per cent, and transport 12.8 per cent.
“Inflation for locally produced items was 10.3 per cent and inflation for imported items was 8.1 per cent,” Prof. Annim said.
The Government Statistician observed that inflation for local products had been rising since July after it fell from 8.7 in April to 7.3 per cent in May and subsequently picked up to 7.9 per cent in June, 9.4 per cent in July and 10.3 per cent in August.
For imported items, he said after it fell from 7.3 in May to 7.0 per cent in June, it began to pick up from 7.1 per cent in July to 8.1 per cent in August.
On the regional inflation rates which the GSS for statistical purposes use the old regions, Prof. Annim said Eastern Region recorded the lowest inflation rate of 3.0 per cent, followed by Western Region 4.7 per cent, Volta 5.5 per cent, Central 8.1 per cent, Upper East 8.9.
The regions with the highest inflation rates were Northern 14.6 per cent, Greater Accra 12.8 per cent and Upper West 11.9 per cent.
BY KINGSLEY ASARE
