The Ghana Statistical Service is attributing the decrease in the Producer Price Index (PPI) for March to an improved performance of the cedi.
[contextly_sidebar id=”TS1GSyLdNt4u99gm2OhsFwMOaRtVl6WM”]The PPI for March decreased marginally to 14.3 percent; from the 14.5 percent recorded in February.
The monthly change rate for March 2016 is 0.8 percent.
This represents a 0.2 percentage point decrease in the PPI rate recorded in March 2016 relative to what was recorded in February 2016.
According to figures released by the Ghana Statistical Service, the utilities sub sector recorded the lowest monthly inflation rate of -0.1 percent.
The mining and quarry sector recorded the highest inflation of 1.6 percent followed by the manufacturing sub-sector which recorded 0.8 percent.
Addressing journalists, the Deputy Government Statistician, Baah Wadieh cited the increase in the value of the cedi as accounting for the decrease in producer inflation.
“The decrease in all industry inflation rate from 14.5 to 14.3 percent was due to a decrease in inflation rate for mining and quarry sector and the utilities sub-sector. For the mining and quarrying, the decrease was largely due to a base drift,
“For utilities, the slight decrease was as a result of the appreciation in the value of the cedi which also affected electricity export. Generally, the decrease means that businesses received less cedis than what they received previously,” he explained.
The Producer Price Index measures the average change overtime in prices received by domestic producers for the production of their goods and services.
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By: Norvan Acquah-Hayford/citibusinessnews.com/Ghana