Inflation dips to 15.8%

It seems the election pressure on inflation has taken a U-Turn as the rate for October dips from 17.2% in September to 15.8% in October 2016.

The rate for last month was blamed on uncertainties among traders who were not certain about the stability of the Cedi.

But the rate has seen a sharp decrease to 15.8%, the lowest since the beginning of the year.

Inflation on imported items also went down from 18.7% in September to 17.3%in in October and that on locally produced items dropped too from 16.6% in September to 15.1% in October.

The food and non-alcohol beverages group recorded a year-on-year inflation rate of 8.7%. This is 0.3 percentage point higher than the rate recorded in September.

The main price drivers for the non-food inflation rate were Transport 27.2%, Education 25.8%, Recreation and Culture 24.0%, Housing, Water, Electricity, Gas and other fuels 23.1%, Furnishing, Household equipment and routine maintenance 22.2% and health 20.9%.

The non-food group recorded a year-on-year rate of 19.4 % in September, compared to 21.6% recorded in September.

Greater Accra and the Ashanti Regions recorded inflation rate higher than the national average of 15.8%.

The Greater Accra Region recorded the highest year-on-year inflation rate of 18.7%, followed by the Ashanti Region with 16.3%.

The Central Region recorded the lowest inflation rate of 12.9%.

The Consumer Price Inflation measures the change over time in the general price levels of goods and services that households acquire for the purpose of consumption, with reference to the price level in 2012, the base year, which has an index of 100.