Producer price inflation in Ghana further decreased to 1.4% in February 2026, down from 1.6% in January, continuing the trend of disinflation at the factory gate level.
The most recent data from the Ghana Statistical Service indicates a significant year-on-year drop of 26.2 percentage points from 27.6% in February 2025, underscoring a notable reduction in input cost pressures over the past year.
Nevertheless, the data also reveal a buildup of short-term pressures, as producer prices increased by 1.3% month-on-month in February, suggesting that companies may soon encounter renewed cost increases despite the overall disinflation trend.
Sector-specific data indicate that mining and quarrying, which holds the largest weight of 43.7%, experienced an uptick in inflation to 4.1%, rising from 3.7% in January, thereby reinforcing its impact on overall price movements.
Conversely, the manufacturing sector, which constitutes 35% of the index, remained in a state of deflation, with inflation further declining to negative 2.9%, reflecting a continued reduction in production costs within this sector.
Utility-driven pressures persist at elevated levels, with electricity and gas inflation recorded at 14.3%, while water supply and waste management inflation stood at 9.9%, indicating ongoing cost pressures in regulated services.
At the same time, weak demand conditions are evident in certain areas of the services sector, as transport and storage inflation decreased further to negative 8.6%, along with accommodation and food services at negative 8.4%.
While the ongoing decline in annual producer inflation supports the broader disinflation narrative, the increase in monthly prices indicates emerging cost pressures that could affect producer pricing behavior and subsequently influence consumer inflation in the near future.
