Inflation for August 2019 records 7.8% after rebasing

This was recorded after the GSS rebased the reference period from 2012 to 2018.

By this, the Ghana Statistical Service has changed the reference period for calculating the inflation rate to 2018 from the previous 2012.

The GSS has also increased the number of markets where prices are gathered to 44 as against the initial 42 markets.

At a press conference, the Government Statistician, Professor Samuel Annim explained that there are 307 items in the new basket which are used to calculate the Consumer Price Index compared with the 267 in the old basket.

“The new series has taken into account changes in consumption pattern over time”, adding that one major change in the new series is the adoption of COICOP 2018 which sets standards for reclassification of items in the basket.

August inflation

The year-on-year inflation rate as measured by the CPI was 7.8% in August 2019 with an index of 108.7.

Alcohol beverages, tobacco and narcotics (12.9%) were the key driver of August inflation.

Food Inflation

The Food and non-alcoholic beverages group recorded a year-on-year inflation rate of 8.2%. Fruits and nuts (25.2%), cereals and cereal products (10.6%), sugar, confectionery and deserts (9.0%), and ready-made food and other food products n.e.c (8.3%) were the major drivers of the food inflation

Non-Food inflation

The Non-food group recorded a year-on-year inflation rate of 7.4% in August 2019.

Alcoholic Beverages, Tobacco and Narcotics (12.9%), Transport (10.2%) and Housing, water, electricity, gas and other fuels (9.9%) were the key drivers of the non-food inflation in August.