After the announcement that Ghana’s headline inflation ended 2025 at 5.4%, which is even lower than the expected rate, an economist believes this is a signal that the country’s economy is finally out of “intensive care unit (ICU)”.
For Dr. Jabir Mohammed, if there was any doubt about Ghana’s economic recovery, the latest inflation data released by the Ghana Statistical Service (GSS) clears most of that doubt.
The economist at the University of Ghana Business School recounts that a drop from 54 percent in 2022 to 5.4% in 2025 is no mean feat. With such high inflation, food prices and other essentials jumped overnight. Transport fares climbed without warning, rents rose, and savings lost value almost instantly.
As many economists put it, it was an economy in survival mode, especially for the low-income earners whose earnings were easily taken away by the silent thief.
With this dramatic shift, Dr. Jabir insists that it is a sign that Ghana’s economy has moved out of intensive care.
He explains that this shift was not accidental. It came about as a result of deliberate policies to steer the fundamentals of the economy in the right direction. In his own words, the economy has been given an immune booster.
Just like medicine strengthens the body to fight future illness, sound economic policies help the economy resist shocks.
This suggests that the government’s agenda of stronger public finances, improved revenue collection, tighter spending controls, and clearer monetary policy are all helping build resilience.
“Inflation @ 54% in 2022, now at 5.4% end of 2025. What an economy?” the very-surprised Dr. Jabir expressed his shock.
He added, “When the economic fundamentals are strong, the macroeconomic environment will speak for itself. The economy is out of an ICU because it has been given an immune booster.”
The lower inflation means the economy is breathing on its own again. It does not mean all problems are solved, but it does mean the immediate danger has passed.
Although Dr. Mohammed’s assessment also carries good news, it carries an implicit warning. Leaving intensive care does not mean full recovery. The patient still needs monitoring, rest, and good habits.
This means that the government must protect these gains by maintaining discipline, supporting production, and ensuring growth benefits reach ordinary people. A return to reckless spending or weak controls could undo the progress.
