In March, Ghana’s inflation hit its highest rate in a decade.
Gatekeepers News reports that this comes after the country’s central bank raised the interest rate in anticipation of inflation.
Government Statistician Samuel Kobina Annim told Bloomberg that the annual inflation surged to 19.4% in March, compared to the 15.7% in February.
In a data gathered from the Ghana Central Bank website, the central bank’s inflation target was 8%, however, current data shows that the target has been exceeded by 11.4%.
Meanwhile, food-price growth surged to 22.4% year-on-year from 17.4% in February, while non-food inflation accelerated to 17% in March from 14.5% in the previous month.
The faster-than-expected increase comes after the monetary policy committee raised its key rate by 250 basis points last month to combat inflation.
The government further implemented spending cuts and enacted a tax on electronic payments to reduce the country’s budget deficit and assuage investor concerns about the country’s fiscal targets’ credibility.
