Ghana’s Producer Price Inflation (PPI) saw a notable decline in April 2025, dropping to 18.5% from 24.4% in March, according to figures released by the Ghana Statistical Service. This marks the third straight month of declining producer inflation, indicating easing cost pressures across key sectors of the economy.

The 5.9 percentage point drop in year-on-year PPI was primarily driven by a slowdown in price increases in the mining and quarrying, and manufacturing sectors. Mining and quarrying contributed 10.6 percentage points to the April figure, while manufacturing added 6.9 points. Combined, these two sectors were responsible for nearly 95% of the overall inflation rate for the month.

On a monthly basis, producers experienced deflation of 0.8% in April, suggesting that the average prices producers received for goods and services were lower than in March. This follows a 0.6% month-on-month increase recorded the previous month, and indicates that price pressures at the production level are beginning to ease.

Among the sectors, mining and quarrying experienced the steepest drop in annual inflation, falling from 35.4% in March to 24.3% in April. Manufacturing also declined, from 22.8% to 19.6%, while transport and storage saw inflation drop from 20.4% to 16.2%.

The Ghana Statistical Service noted that this downward trend in producer inflation could create room for broader economic relief, particularly if reduced input costs for producers are reflected in lower consumer prices. However, the agency also cautioned that falling prices could pressure producers’ profit margins.

In response, businesses are being advised to use this period of relative price stability to optimize operations—by reviewing cost structures, embracing local sourcing, and cautiously planning expansion.

Describing the trend as “a window for stabilization and responsible investment,” the Statistical Service urged both industry leaders and policymakers to act strategically to support long-term economic resilience and growth.