Ghana’s economy is showing promising signs of recovery, as evidenced by a significant decline in inflation, which dropped to 23.1% in May 2024 from 25.0% in April 2024.
This decline marks a notable decrease from the peak of 54.1% recorded in December 2022.
Minister for Finance Dr Mohammed Amin Adam highlighted this achievement at a joint press conference held on Monday, July 1, 2024, with the Ministry of Finance, the Bank of Ghana (BoG), and the International Monetary Fund (IMF).
He attributed this positive trend to a series of effective fiscal and monetary policies implemented over the past year.
“The disinflation process we are witnessing is a direct result of our ongoing fiscal consolidation efforts, the appropriate tightening of monetary policy by the BoG, and the relative stability in the exchange rate,” he stated.
The Minister emphasized the government’s commitment to maintaining macroeconomic stability, which has been crucial in achieving these results.
“Despite the challenging global environment, the strong leadership provided by President Nana Akufo-Addo, and the support and input of the people of Ghana have undoubtedly contributed to the successes we are seeing today,” Adam said.
Further details revealed that the government’s multi-faceted approach includes several key measures aimed at stabilizing the economy.
These measures encompass a tight monetary policy by the BoG, deepening the fiscal consolidation program, intensifying the gold-for-oil and gold-for-reserves programs, and securing anticipated Forex inflows from multilateral, bilateral, and private sector financial institutions.