June inflation rate increases marginally

Inflation rate for June 2015 was 17.1 per cent. This represents a 0.2 per cent increase over the May figure of 16.9 per cent.

It also represents a percentage change in the Consumer Price Index (CPI) over the 12-month period from June 2014 to June 2015.
The monthly change rate for June 2015 was 1.8 per cent, compared to the 1.0 per cent recorded in May 2015.

The CPI measures the change over time in the general price level 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.

Regional differentials

However, four regions, namely, Ashanti, Volta, Central and Upper East, recorded inflation rates higher than the national average of 17.1 per cent.

The Upper West and Northern regions recorded the lowest inflation rate of 14.8 per cent.

Speaking at a press conference in Accra yesterday, the Government Statistician, Dr Philomena Nyarkoh, said the Central Region recorded the highest year-on-year inflation rate of 19.5 per cent.

Food and non-food inflation

According to her, the food and non-food beverages group recorded a year-on-year inflation rate of 7.4 per cent, 0.1 per cent higher than the 7.3 per cent recorded in May 2015.

Besides, she said, the year-on-year food inflation rate was 23.6 per cent, three times more than the food inflation rate of 7.4 per cent.
The non-food group recorded a year-on-year inflation rate of 23.6 per cent in June 2015, compared to the 23.4 per cent recorded for May 2015.

Housing, water, electricity, gas and other fuels, being the main drivers of the non-food group, recorded the inflation rate of 24.8 per cent, while transport recorded the highest rate of 25.5 per cent.

However, inflation in the communications sub-group recorded the lowest rate of 12.0 per cent, being the lowest for three consecutive months from March to June.

The main price drivers of food inflation were mineral water, soft drinks, fruits and vegetables, recording 16.2 per cent, with coffee, tea and cocoa recording 17.1 per cent, while food products recorded 14.9 per cent.

Sugar, jam, honey, chocolate and confectioneries also recorded 15.2 per cent, while meat and meat products recorded 13.9 per cent, with milk, cheese and eggs recording 12.3 per cent and cereals and cereal products also recording 8.3 per cent.