Inflation report to identify main drivers and guide policymaking – Govt statistician

Prof. Samuel Kobina Annim GSS11212.jpeg Prof. Samuel Kobina Anim is Government statistician

Fri, 13 May 2022 Source: www.ghanaweb.com

Inflation hits 23.6%

Transport records highest inflation

Imported items record high inflation in April

Government Statistician, Professor Samuel Kobina Annim, has stated that data from the Ghana Statistical Service on the current inflation rate is to highlight the drivers of inflation and points out relevant areas that need attention.

According to him, policymakers need to analyze the data carefully to devise the right policies that to slow the rate of inflation the country is experiencing.

Speaking on JoyNews, he said, “So now we’re telling the policymaker that hitherto, locally produced items had a higher inflation rate than imported inflation, but now we’re seeing imported inflation recording 24.7% and locally produced 20.0%. this is not to tell the policymaker that prioritises imported items relative to local items, because I have gone ahead to mention to you that if you disaggregate the 99 items that saw rates higher than the national average, two-fifths of the 99 items are food items that are produced locally.

“So I am saying that let’s get the real sector ministry to look at our stock of grains and then once we look at our stock of grains we know that there is a potential of solving two-fifths of the 99 items that have seen an increase.

Latest data from the Ghana Statistical Service revealed that increasing food prices, transport, and fuel pushed the country’s inflation to 23.6% for the month of April 2022, highest since January 2004.

The components are as follows; Transport (33.5%); Household Equipment and Routine Maintenance (28.5%); Food and Non-Alcoholic Beverages (25.6%), and Housing, Water, Electricity, Gas, and Other Fuels (25.0%)

Inflation for imported goods was 24.7% higher than the 17.3% recorded for March 2022, the first time in 29 months that inflation for imported items exceeded domestic inflation.

Inflation for locally produced items was 23.0% from the 20.0% recorded in March 2022.

Professor Samuel Kobina Anim is however calling for broader conversation to be help on how to address the rising prices of goods and services in the country.

“So there should be a further conversation to see the weight to which monetary policy will solve it, the pathways by which monetary policy will solve it, the extent to which we can identify the real sectors i.e the transport, the housing, the food, they all are recording rates higher than the national average of 23.6%. So we cannot just rely on one policy instrument and say that that is going to work,” he said.

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Source: www.ghanaweb.com
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