Ghana Inflation Falls to 27-Year Low as Disinflation Deepens in January 2026

Ghana’s disinflationary trend strengthened further in January 2026, with headline inflation easing to 3.8 percent, the lowest level recorded in nearly 27 years.

The last time inflation approached comparable lows was in 1999, when August recorded 1.4 percent and September stood at 4.4 percent, underscoring the rarity of such subdued price pressures in modern Ghanaian economic history.

The January figure marks the 13th consecutive monthly decline since the 2021 rebasing of the Consumer Price Index (CPI), signaling broad-based easing across both food and non-food categories.

Inflation declined sharply from 5.4 percent in December 2025, representing a 1.6 percentage-point month-on-month drop. On a year-on-year basis, inflation fell from 23.5 percent in January 2025 to 3.8 percent, reflecting a substantial correction following two years of elevated price pressures.

Food inflation, a key concern for households, slowed to 3.9 percent from 4.9 percent in December. Non-food inflation also eased significantly, falling to 3.9 percent from 5.8 percent, confirming that price moderation is occurring across major sectors of the economy.

Regionally, inflation outcomes remain uneven. The Savannah Region recorded the lowest inflation rate at -2.6 percent, indicating outright price declines, while the North East Region posted the highest rate at 11.2 percent, highlighting persistent regional disparities.

The latest data follows the Bank of Ghana’s decision to cut its policy rate by 250 basis points to 15.5 percent, aimed at reducing borrowing costs and supporting economic activity. The historic inflation low may strengthen the case for further monetary easing at upcoming Monetary Policy Committee (MPC) meetings.

However, policymakers continue to monitor risks related to exchange rate pressures, global commodity price movements, and fiscal conditions to ensure inflation remains within target over the medium term.

Overall, the January 2026 inflation print signals a return to price stability unseen since the late 1990s and provides critical guidance for businesses, investors, and households as Ghana shapes its economic strategy for the year ahead.