The Ghana Statistical Service (GSS) has emphasized the need for a collaborative, inter-ministerial effort to tackle inflation, urging that it should not fall solely on the Bank of Ghana (BoG).
While the BoG has historically used monetary policy, such as raising interest rates, to control inflation, the GSS advocates for broader government involvement.
The central bank lowered its monetary policy rate to 27% in September 2024, aiming to alleviate borrowing costs and ease inflationary pressures. However, despite these efforts, inflation has continued to rise.
Data from the GSS shows that the government missed its inflation target of 15% for 2024, with inflation reaching 23.8% in December, driven largely by rising food prices.
The GSS underscored the importance of a coordinated, multi-sectoral approach to addressing the root causes of inflation and ensuring long-term economic stability.
“We definitely need to move the conversation away from a Central Bank’s responsibility alone. We need to tackle inflation at least from two perspectives. Every sector ministry we talk about in our release should be responsible.
“Our conversation focuses on the Ministry of Food and Agriculture. But, if you look at the items – transport, housing, water, electricity and gas are dominant divisions. These ministries should be part of the conversation in driving down the rate of inflation,” Government Statistician, Professor Samuel Kobina Annim said.
For him, a coordinated and multi-ministerial effort is key to tackling inflation effectively.
“It will be a challenge speaking directly to what different state institutions should be doing differently. Especially, when you don’t know the details of what they are doing, apart from what you are told or you read.
“On the back of this, it will be important we step back and look at how Ghana Statistical Service is promoting the granular data from the headline figure. So we are calling for an inter-ministerial engagement if we want to bring down the rate of inflation”, Prof. Annim added.
