Ghana inflation hits 5.5% in October, highest in 11 months as BoG meets Nov 18
Ghana's annual inflation climbed to 5.5% in October, an 11-month high, up from 5.2% in September, Government Statistician Alhassan Iddrisu announced at a press conference in Accra on Wednesday. The increase was driven by non-food inflation jumping to 7.9% from 6.2% and services inflation surging to 11.5% from 8.3%, even as food inflation eased to 2.8% from 4%. The cedi has weakened 10% against the dollar this year, adding to price pressures.
The Bank of Ghana has held its policy rate at 14% since March while monitoring inflation linked partly to the Iran war's impact on fuel and fertilizer supplies. With inflation now rising for a second straight month but still within the central bank's 6-10% target band, the October figures could influence the Monetary Policy Committee's decision at its November 18 meeting. Previous rate cuts brought the policy rate down from 21.5% in September 2025 to 14% by March 2026, when inflation hit a low of 3.2%.
Meanwhile, Nigeria's inflation continues a different trajectory, easing for the fourth consecutive month to 14.63% in September from 15.39% in August, according to the NBS. The divergence matters for cross-border trade and regional investment decisions.
For Ghana businesses and consumers, the key question is whether the BoG signals rate cuts at the November meeting or maintains its cautious stance. With the cedi under pressure and non-food categories accelerating, imported input costs may keep rising. Will you adjust pricing strategies ahead of the MPC decision, or wait for clearer policy direction?