Ghana’s Regional Inflation Divide: What the March 2025 Numbers Reveal

As Ghanaians continue to grapple with the effects of inflation, the latest figures from the Ghana Statistical Service reveal stark regional differences in the cost of living. The national year-on-year inflation for March 2025 stands at 22.5%, but this average masks the wide disparities among the country's 16 administrative regions.

Year on Year Inflation for Regions in Ghana

Northern and Upper Regions Feeling the Heat

The Upper West Region tops the inflation chart with a staggering 36.2%, followed closely by Savannah (33.6%) and Upper East (27.3%). These figures suggest that households in the northern belt are experiencing the steepest rise in prices, driven by challenges such as transport costs, supply chain inefficiencies, and seasonal food shortages.

Southern Regions Offer Relative Relief

At the other end of the spectrum, Volta Region (18.9%), Ahafo (20.0%), and Western (20.1%) recorded the lowest inflation rates. This trend could be attributed to better market integration, port proximity, and more efficient distribution systems.

Greater Accra and Ashanti Stay Close to the Average

Despite being economic powerhouses, Greater Accra (22.4%) and Ashanti (23.0%) hover around the national average. This reflects a balance between rising demand and the availability of goods and services in urban hubs.

Understanding the Metrics

The data covers combined food and non-food year-on-year inflation, capturing a broad picture of price movements. It reflects how much more expensive life has become compared to March 2024, with essentials like food, transport, rent, and utilities contributing to the index.

Why This Matters

Inflation is not just a number; it's a lived experience. For policymakers, understanding regional disparities is critical in tailoring interventions such as subsidies, food distribution, and infrastructure investments. For businesses, it offers insights into pricing strategies, location-based marketing, and risk assessments.

As Ghana continues its economic recovery, tracking regional inflation will be vital to ensure inclusive growth that doesn't leave any part of the country behind.

Source: Ghana Statistical Service - CPI Bulletin: March 2025. Click here to download.