Uneven inflation underscores need for region-specific actions – GSS

By Juliet ETEFE ([email protected])

Despite a sustained national decline of inflation, wide regional disparities in price movements underscore the need for targetted, regional-specific responses, according to the Ghana Statistical Service (GSS).

In its November 2025 Consumer Price Index (CPI) release, GSS reported that while headline inflation eased for the 11^th consecutive times to 6.3 percent – the lowest since price rebasing in 2021 – inflation outcomes varied sharply across regions, reflecting differences in local supply conditions, transport costs and market access.

North East Region recorded the highest year-on-year inflation rate at 12.2 percent in November, despite a significant decline from 17.3 percent in October. In contrast, Savannah Region posted the lowest inflation, at -0.02 percent – highlighting stark contrasts in price pressures within the same national economy.

Other regions with relatively high inflation included Eastern (10.8%), Volta (9.6%), Western (8.3%) and Western North (7.2%). Collectively, the five regions with highest inflation accounted for about 37.6 percent of overall inflation, underscoring their outsized influence on national price dynamics.

From a contribution perspective, Greater Accra remained the single largest contributor to national inflation by accounting for 25.4 percent, even though its inflation rate slowed to 5.6 percent. Eastern and Ashanti Regions followed, contributing 17.6 percent and 17.1 percent respectively, reflecting their large weights in the CPI basket.

GSS noted that regional inflation differences are closely linked to structural factors. Regions with weaker transport networks, limited storage facilities and heavy dependence on food inflows from other parts of the country tend to experience higher and more volatile inflation. Conversely, areas with relatively better access to local food production and markets recorded lower price pressures.

“Sharp regional differences persist as inflation is uneven across the country…local supply, transport costs and market access could be driving these gaps,” Government Statistician Alhassan Iddrisu stated.

In light of these patterns, GSS emphasised that a one-size-fits-all approach to inflation management may be insufficient. It recommended that government intensify efforts to reduce regional disparities by investing in storage infrastructure, irrigation systems and transport networks to stabilise food supply chains and lower distribution costs.

On sustaining the easing trajectory of national inflation, maintaining fiscal discipline while prioritising interventions that support food price stability was also highlighted as critical.

For businesses, the Service advised taking advantage of the lower inflation environment to improve efficiency, strengthen local supply chains and reduce waste while passing on cost savings to consumers where possible.

Households were encouraged to use the period of easing inflation to budget more deliberately, curb unnecessary spending and build savings buffers.

According to GSS, addressing regional inflation imbalances will be essential to ensuring that the benefits of macroeconomic stabilisation are felt evenly across the country, reinforcing inclusive and sustainable economic recovery.

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