Inflation Rises Again In February

Inflation went up marginally for the month of February, the second time in as many months. February inflation rose to 9.16%, up from 9.08% in January. December 2010 inflation stood at 8.58%.

The latest upward movement, according to the Statistical Service, confirms assertions that the prevailing upward trend in inflation rate would continue for a few more months.

The Service is attributing this to a number of factors, including the ripple effect of the fuel price increases in January whose cycle is yet to end, coupled with the continuous rise in crude oil prices on the world market.

The latest rise in inflation implies the rate of increase in prices of goods and services saw a marginal increase of 0.08 percentage points in the month of February. The upward trend in inflation rate for February was mainly attributed to the high rate of nearly 23% recorded in mineral water, soft drinks and juices coupled with 21% rate in transport.

In regional terms, inflation rates ranged from a low of 6.78% in the Volta Region to a high of 11.61% in the Greater Accra region. Ashanti, Upper-East and Upper West regions also recorded rates above the national rate of 9.16% in February.

Speaking to Citi Business, Government Statistician, Dr. Grace Bediako said even though inflation rate remains in the single digit range, the outlook is rather negative.