El Niño could trigger fresh food and electricity price hikes – Government Statistician

Government Statistician Dr Alhassan Iddrisu has warned that an anticipated severe El Niño event could put fresh pressure on prices in Ghana by disrupting food production, electricity generation and international supply chains.

He said changing weather conditions could affect rainfall, reduce agricultural output and put pressure on household budgets if the country fails to prepare adequately.

According to a report by adomonline.com, his warning comes after Ghana’s inflation rate increased to 5.5 per cent in October 2026, raising concerns about the potential impact of the climate phenomenon on the cost of living.

El Niño: GMet warns of possible weather changes

Speaking on the possible economic effects, Dr Iddrisu urged policymakers to use weather forecasts to guide decisions and introduce measures before the situation worsens.

“Policymakers should take their predictions and then look at the right policy interventions to put in place to mitigate their impact,” he said.

One of the major concerns is the effect of reduced rainfall on food production. The Government Statistician explained that inadequate rainfall could affect crop yields, reduce food supply and eventually push up prices.

“If, for example, it affects rainfall and we don’t get enough rain, that’s likely to affect food supply and all other things being equal. If there are shortages in food supply, that can affect food prices,” he cautioned.

He also identified electricity generation as another area at risk, particularly because Ghana relies on hydropower.

Prolonged dry conditions could reduce water inflows into the Akosombo Dam and other reservoirs, potentially affecting power generation and increasing operating costs for businesses.

Dr Iddrisu further warned that disruptions in countries supplying Ghana with food and other commodities could increase import costs and expose the country to imported inflation.

“So, these are some of the impacts, possible impacts of El Niño on the country and then their transmission mechanism to prices,” he said.

Cocoa production is also among the sectors that could be affected by the weather phenomenon.

“I must also say that usually it affects cocoa a lot. And when it affects cocoa, it affects cocoa prices,” he noted.

The Ghana Meteorological Agency has identified a developing severe El Niño event, with potential implications for rainfall, agriculture, water resources and hydropower generation. The main period of concern for Ghana is expected to be between November 2026 and April 2027.

Dr Iddrisu urged authorities to incorporate the forecasts into economic planning to help protect households and businesses from possible price increases.

“The most important thing is that we should recognise that this has been forecast by Meteo and then we have to take the projections or forecasts and feed them into the analysis that we do,” he said.

NA/BAI