The Consumer Price Index (CPI) experienced a slight increase of 0.4 percentage points to record an inflation rate of 12.3 percent year-on-year for the month of August in Ghana.
This is compared to the 11.9 percent year-on-year inflation rate recorded for the previous month, the Ghana Statistical Service said here on Wednesday. The monthly change rate for the month under review was -0.2 percent, compared to the 0.7 percent recorded for July 2017.
"Food and non-alcoholic beverages group recorded 0.2 percentage point increase in inflation to record a year-on-year inflation rate of 7.4 percent year-on-year compared with the 7.2 percent year-on-year inflation rate recorded for July 2017,"
Baah Wadieh, Acting Government Statistician added. The non-food inflation rate rose 0.5 percentage points to 14.7 percent compared to the 14.2 percent year-on-year inflation rate in the month of July 2017.
"Factors leading to the rise in inflation could be many but the key factor here is the base drift effect, as price levels for the same period last year were slightly lower than the price levels for this year, hence the rise in inflation,"
Wadieh explained. In her comment seen here Raziah Khan, Chief Economist for Africa at Standard Chartered Bank said a backup in inflation is in line within expectation. "This is largely a base effect," she said.