- Producer price inflation declined to 18.5 percent in April 2025, down from 24.4 percent in March, marking a drop of 5.9 percentage points and the third consecutive month of decline.
- On a month-to-month basis, producers experienced deflation of 0.8 percent in April 2025, meaning they earned less for their goods and services compared to March.
- The mining and quarrying sector was the largest contributor to inflation in April, adding 10.6 percentage points to the overall producer price index.
- The manufacturing sector was the second biggest driver of producer inflation, contributing 6.9 percentage points in April 2025.
- Most economic sectors showed signs of cooling inflation or price stability, including transportation, accommodation, and manufacturing.
- Within the construction sub-sector, specialized construction activities had the highest inflation at 18 percent, followed by civil engineering at 15.7 percent, and building construction at 9.7 percent.
- The mining sub-sector saw significant variation, with mining support services recording the highest inflation at 66 percent, while crude oil and gas extraction showed deflation at -12.6 percent.
- In the manufacturing sub-sector, the highest inflation was recorded in basic metals at 38 percent, while the manufacture of petroleum products saw deflation at -1.6 percent.
- For businesses and consumers, the decline in inflation presents an opportunity to adjust prices, make careful investments, and avoid unnecessary spending or panic buying.
- The government is encouraged to use this period of lower inflation to strengthen economic programs, improve public understanding of inflation trends, and guide future policy decisions.
So what?
The April 2025 PPI report signals a critical turning point in Ghana’s economic landscape. While inflation remains relatively high, its steady decline offers a chance for economic recovery, informed policymaking, and renewed confidence among producers, consumers, and investors.
