The Ghana Statistical Service (GSS) has reported a drop in the year-over-year producer inflation rate for March 2025, which decreased from 27.6 percent in February 2025 to 24.4 percent. This suggests that the prices for goods and services quoted at the production level are slowing down.
According to the Producer Price Index (PPI), which tracks the average change over time in the selling prices of goods and services received by domestic producers, producer inflation from February to March 2025 increased by 0.6 percent month-over-month. This is lower than the 1.5 percent recorded in the previous month.
Sector Breakdown: Industry vs. Services
In the industry sector (excluding construction), the producer price inflation rate dropped from 42.9 percent in February 2025 to 36.3 percent in March 2025. This sector continues to be the primary driver of producer inflation, despite a 6.6 percentage point drop from February’s rate.
The Mining and Quarrying sub-sector saw a significant decrease in its industrial producer price inflation, falling by 9.2 percentage points to 35.4 percent in March 2025, down from 44.6 percent in February 2025. Meanwhile, the Manufacturing sub-sector’s inflation rate grew by 2.0 percentage points to 22.8 percent in March 2025.
The Electricity and Gas sub-sector recorded a 5.1 percent inflation rate, a 4.6 percentage point decrease from the 9.7 percent rate seen in February 2025. Inflation in the subsector of water supply, sewerage, and waste management was 4.8 percent.
Construction Sector
In the construction sector, the year-over-year producer price inflation rate for March 2025 was 15.4 percent, down slightly by 0.4 percentage points from the 15.8 percent rate recorded in February 2025. Between February 2025 and March 2025, there was a 0.1 percent monthly change.
In building construction, inflation fell by 1.6 percentage points, from 15.9 percent in February 2025 to 14.3 percent in March 2025. The Specialised Construction Activities sub-sector reported a slight decline in inflation, dropping from 18.5 percent in February 2025 to 17.9 percent in March 2025. The Civil Engineering sub-sector’s inflation rate remained unchanged at 15.7 percent.
Services Sector: Minor Decrease
Inflation in the services sector saw a minor decrease in March 2025, with a year-over-year inflation rate of 7.2 percent, down 0.6 percentage points from February 2025’s 7.8 percent. This reflects a 0.2 percent month-over-month change.
The Transport and Storage sub-sector experienced a significant drop in inflation, from 22.7 percent in February 2025 to 20.4 percent in March 2025, a decrease of 2.3 percentage points. On the other hand, the Accommodation and Food Services sub-sector’s inflation rate fell by a notable 6.5 percentage points, from 29.1 percent in February 2025 to 22.6 percent in March 2025. Inflation in the Information and Communication sub-sector was 4.1 percent in March 2025.
By Najat Adamu
