Producer inflation rises to 2.7% in April 2026

By Juliet ETEFE

Producer inflation rose to 2.7 percent in April 2026, up from 1.6 percent in March, driven mainly by higher prices in the mining and quarrying sector as well as utilities, the Ghana Statistical Service has announced.

The latest Producer Price Index (PPI) report showed that the overall index increased to 281.5 in April from 280.4 in March and 274.1 in April 2025, reflecting rising factory-gate prices for goods and services across the economy.

The year-on-year producer inflation rate represents a 1.1 percentage point increase over March 2026 and is 15.9 percentage points lower than the level recorded in April 2025.

On a month-on-month basis, producer prices increased by 0.4 percent in April, slower than the 0.7 percent recorded in March, indicating easing short-term price pressures.

According to the report, mining and quarrying – the largest component of the PPI basket with a weight of 43.7 percent – recorded inflation of 5.6 percent in April, up from 3.9 percent in March. The sector contributed 2.4 percentage points to overall producer inflation, making it the biggest driver of the increase.

Inflation in the extraction of crude oil and natural gas stood at 7.2 percent, while mining support service activities recorded inflation of 4.1 percent.

The manufacturing sector, which accounts for 35 percent of the index, remained in deflation territory but showed signs of recovery. Manufacturing inflation improved from negative 2.2 percent in March to negative 0.6 percent in April.

Within the manufacturing sub-sector, the highest inflation was recorded in the manufacture of beverages at 15.5 percent, followed by leather and related products at 9.3 percent and furniture at 9.2 percent. In contrast, the manufacture of other non-metallic mineral products recorded the lowest inflation rate at negative 14 percent.

Electricity and gas recorded inflation of 11 percent in April despite easing from 13.6 percent in March, while water supply, sewerage and waste management posted inflation of 10.3 percent.

Industrial PPI

The industrial producer price inflation rate excluding construction rose to 2.2 percent in April from 1.8 percent in March. However, on a monthly basis, industrial producer prices declined by 0.6 percent.

The construction sector recorded year-on-year inflation of 0.9 percent in April, up from 0.3 percent in March. Construction of utility projects posted the highest inflation rate within the civil engineering sub-sector at 15.6 percent.

Services PPI

Meanwhile, services sector inflation remained negative at 1.4 percent year-on-year, although this represented an improvement from the negative 0.9 percent recorded in March. Transport and storage recorded inflation of negative 7.1 percent while accommodation and food services posted negative 7 percent.

In the services sector, motion picture, video and television production, sound recording and music production recorded the highest inflation rate at 87.9 percent, followed by air transport at 12.1 percent.

GSS urged households to focus on essential spending, strengthen budgeting and maintain consistent savings amid evolving price conditions.

It also advised businesses to secure medium-term supply contracts as manufacturing inflation gradually recovers, while monitoring costs, adjusting prices cautiously and improving efficiency in response to easing short-term producer price pressures.

Government, meanwhile, was encouraged to strengthen inflation monitoring and implement targeted measures aimed at improving production efficiency and stabilising input costs.

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