Ghana’s producer price inflation rose to 4.0% year-on-year in July 2026, up from 3.5% in June, driven largely by higher gold prices and continued increases in utility costs.

Data from the Ghana Statistical Service (GSS) show that producer prices increased by 2.0% month-on-month in July, reversing a 3.7% decline recorded in June.

The Producer Price Index (PPI) rose to 272.6 in July, from 267.4 in June and 262.2 in July 2025.

Mining, utilities drive increase

Government Statistician, Dr Alhassan Iddrisu, attributed the rise in producer price inflation partly to higher global gold prices, which pushed up costs in the mining and quarrying sector.

The sector’s month-on-month inflation increased by 12.4 percentage points, lifting its annual inflation rate from 2.6% to 3.5%.

Mining and quarrying carries the largest weight in Ghana’s producer price index, accounting for 43.7%.

Within the sector, crude oil and natural gas extraction recorded annual inflation of 12.2%, while metal ore mining recorded a 2.3% contraction.

Utility costs also remained elevated, with electricity and gas recording the highest annual inflation rate among the sub-sectors at 13.3%.

Water supply and waste management followed with an inflation rate of 10.1%.

Manufacturing and services

Manufacturing inflation rose to 3.7% year-on-year, with fabricated metal products recording a 25.9% increase and leather products rising by 17.4%.

However, prices of non-metallic mineral products declined by 2.3%.

Service-sector inflation remained relatively moderate at 2.5%, although some subsectors recorded sharp increases.

Motion picture production recorded inflation of 87.9%, while land transport rose by 23.4%.

Telecommunications prices remained unchanged, recording 0.0% inflation.

Potential impact on consumers

Although producer price inflation remains well below the high levels recorded in previous years, the sharp monthly increase points to renewed upstream cost pressures that could eventually feed through to consumer prices if sustained.

The latest figures suggest that businesses may continue to face pressure from rising production and operating costs, particularly in utilities, transport and some manufacturing inputs.

Households could also experience the effects if higher producer costs are passed on to consumers through increased prices of goods and services.