Higher food prices in Ghana push headline inflation to nearly 10 pct in August

Source: Xinhua| 2018-09-13 02:22:29|Editor: yan
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ACCRA, Sept. 12 (Xinhua) -- Relatively higher prices for food items pushed up headline inflation by 0.3 percentage points to 9.9 percent in August, Ghana Statistical Service (GSS) stated here on Wednesday.

While the monthly change rate remained flat, food inflation increased 0.5 percentage points to 7.9 percent during the month under review, compared with the 7.4 percent recorded in July.

August marks the official beginning of the harvest season in Ghana and lower food inflation after this month tends to act as a pull-down effect on headline inflation.

"Non-food inflation also increased 0.1 percentage points to 10.8 percent in August, from a percentage point lower previously," said Baah Wadieh, Acting Government Statistician.

Meanwhile, the effect of exchange rate depreciation has also taken its bite on consumers as inflation rate for imported items also inched up 0.2 percentage points to 11.7 percent during the month of August, relative to the 11.5 percent recorded during the previous month.

The inflation rate for locally produced items also saw a 0.3 percentage points increase to 9.1 percent during the month under review from 8.8 percent recorded in July.

The inflation rate is one of the major macro-economic indicators in the Ghanaian economy and is one of the factors influencing the direction and level of lending rates.