For Ghanaians heading to funerals, parties, outdoorings and other social gatherings this weekend, the money set aside for drinks may still not stretch as far as it did a year ago. But the pace of price increases in the alcohol and tobacco category has slowed, according to the latest data from the Ghana Statistical Service (GSS).
For many households, alcohol is part of everyday social life. A bottle of akpeteshie before a meal, drinks shared with friends, or several bottles bought for a funeral or outdooring can all add to the day’s spending. The latest inflation figures show that prices in the broader alcohol and tobacco category are no longer rising as quickly as they were a month earlier.
Inflation for alcohol and tobacco fell to 3.0% in August 2026 from 3.7% in July, a decline of 0.7 percentage points. It was the largest decline among Ghana’s 13 divisions of spending in the Consumer Price Index.
The moderation came even as Ghana’s overall year-on-year inflation moved higher, rising from 4.6% in July to 5.0% in August.
A different direction from headline inflation
The movement in alcohol and tobacco prices contrasts with several categories that recorded stronger price pressures in August.
Housing, water and energy recorded inflation of 11.6%, up from 8.3% in July, and accounted for 29.4% of total inflation, the largest contribution among the 13 divisions.
Transport inflation also increased marginally to 7.6%, while recreation and culture rose to 6.8%.
Alcohol and tobacco, by comparison, recorded the largest decline in inflation. Personal care and miscellaneous goods and services followed, falling by 0.5 percentage points to 4.8%.
Food and beverages also eased, with inflation declining from 3.1% to 3.0%.
Alcohol and tobacco now below the national rate
At 3.0%, inflation for alcohol and tobacco was two percentage points below Ghana’s 5.0% headline inflation in August.
The slowdown in alcohol and tobacco inflation comes against a much broader decline in Ghana’s inflation rate over the past year.
Headline inflation has fallen from 11.5% in August 2025 to 5.0% in August 2026. Food inflation is now at 3.0%, while inflation for imported items stands at 2.2%.
But the improvement has not been evenly distributed.
Services inflation reached 8.6% in August, compared with 3.8% for goods. Housing, water and energy stood at 11.6%, education services at 9.3%, transport at 7.6% and restaurants and hotels at 7.9%.
The figures show that while headline inflation has come down sharply over the past year, consumers are still experiencing very different price movements depending on what they buy.
For alcohol and tobacco, August brought the sharpest decline in inflation among the 13 spending divisions.
So, whether it is the bottle of akpeteshie picked up before a meal, drinks bought for friends, or a larger order for a Saturday gathering, the latest GSS data suggests the prices may still be higher than a year ago, but they are not getting dearer as fast.
