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Inflation Shoots Up To 17.2%

Inflation has shot up from 16.9% in August to 17.2% in September 2016.

Inflation for imported items also rose from 17.3% in August to 18.7 in September.

Locally produced items however dropped from 16.7% in August to 16.6% in September.

The food and non-alcohol beverages group recorded a year-on-year inflation rate of 9.0%. This is 0.5 percentage point higher than the rate recorded in August.

The non-food group recorded a year-on-year rate of 21.6 % in September, compared to 21.5% recorded in August.

Greater Accra recorded the highest inflation rate of 20.8%, Ashanti region came second with 18.1% while Central region recorded the lowest of 13.8%.

Price drivers for the non-food items include; Education, Housing, Water, Gas and other fuel, Transport among others while the price drivers for the food inflation included; vegetables, mineral water, coffee, tea, Cocoa among others.

The government statistician, Philomena Nyarko, blamed the rise in the August inflation rate on the Non-food sector and the increase in import inflation rate.

According to her, prices of goods are on the ascendancy due to uncertainties around the impending elections.

She added that importers are skeptical about the stability of the Cedi and are therefore increasing their products to forestall future uncertainties.

The trend of inflation till the end of the year is likely not to see a reduction because of the impending Christmas festivities which will increase demand for goods and services.

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.

Source:  radioxyzonline.com

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