Ghana Inflation Accelerating to 12.6% Pressures Central Bank

Ghana’s inflation rate jumped to the highest level in almost five years in December, underscoring the dilemma the central bank faces in trying to balance its efforts to curb price growth and boost the economy, Bloomberg News reported. Annual inflation accelerated to 12.6% from 12.2% in November, Government Statistician Samuel Kobina Annim told reporters Wednesday in Accra, the capital. That’s the highest rate since April 2017, exceeding the finance ministry’s forecast of 8% and topping the median estimate of 12.5% projected by six economists in a Bloomberg survey. Prices climbed 1.2% in the month. Headline inflation, fanned by higher costs of housing, water, electricity and gas, has now breached the ceiling of the central bank’s 6% to 10% target range for a fourth consecutive month. Food inflation slowed to 12.8% from 13.1% in November, while non-food price-growth accelerated to 12.5% from 11.6%. Read more.