Ghana’s inflation has dropped again for the third month in a row, showing signs that the country’s economy might be starting to stabilize.

According to the Ghana Statistical Service (GSS), annual consumer inflation fell to 22.4% in March 2025, down from 23.1% in February.

This steady decline is largely due to falling food prices.

Government Statistician Samuel Kobina Annim confirmed the trend and explained the reason behind it, saying: “The rate of 22.4% is the lowest recorded in the past four months.”

Food inflation dropped notably, falling from 28.1% in February to 26.5% in March.

Non-food inflation also went down slightly, from 18.8% to 18.7%.

Inflation for goods produced within Ghana dropped from 25.1% to 24.0%, which added to the easing pressure.

However, inflation on imported goods went up a little—from 18.5% in February to 18.7% in March.

This downward movement in inflation numbers came shortly after the Bank of Ghana made a surprise move to raise its benchmark interest rate by 100 basis points, bringing it to 28%.

The Bank said this increase was necessary to help control inflation and maintain tight monetary policy. Analysts believe the recent fall in inflation lines up with the Bank’s efforts to slow down price increases.

The higher interest rate shows the central bank’s strong push to keep prices stable even in a tough economic climate.

In terms of specific areas, prices for Food and Non-Alcoholic Beverages saw inflation at 26.5%, while Housing, Water, Electricity, Gas, and Other Fuels came in at 25.1%.

Both figures are above the national average of 22.4%.

Looking at the regions, the Upper West Region recorded the highest inflation rate in the country at 36.2%, while the Volta Region had the lowest at 18.9%.

Even though the drop in inflation is a positive sign, experts still say that close monitoring and smart policy decisions are needed to make sure the economy stays on the right path.