The Chief Executive Officer of the Ghana National Chamber of Commerce and Industry (GNCCI), Mark Badu Aboagye, has assured that Ghanaians will experience relief beginning July 1, as businesses are set to further reduce prices of their goods and services.

In an interview with Joy News on June 19, Mr. Badu Aboagye noted that although some vendors had initially adjusted prices, they are now better positioned to offer deeper cuts in the coming weeks as a result of the local currency's appreciation.“We should manage expectations on these reductions. We should remember that some of these industries have already started reducing prices earlier this year, therefore what will happen from July 1, 2025 will be an addition to what has happened so far”, he explained.

Earlier this month, the Ghana Union of Traders Association (GUTA) reported an average of 20.6% decline in staple food, attributing the trend to the continuous appreciation of the Ghana cedi against major trading currencies.

Speaking to the media on Monday, June 2, the Head of the Economic and Business Bureau at GUTA, Charles Kusi Appiah Kubi, said the price reductions are the result of a careful assessment by the Association.

He noted that the price of a 50kg bag of rice has dropped from GH¢950 to GH¢750, representing a 21.05% decrease. Cooking oil, which previously sold at GH¢780, now goes for GH¢650 — a 20.51% reduction.

Additionally, a 4kg bag of rice has been reduced from GH¢400 to GH¢330, a 17.5% drop, while spaghetti prices have fallen from GH¢150 to GH¢115, marking a 23.33% decrease. According to Mr. Appiah Kubi, some of these gains are already benefiting consumers.

He emphasized that several economic factors play into pricing, including borrowing costs, fuel prices, consumer taxes, procurement, and replacement costs.

“The point is this: we understand the dynamics within the market, and as an integral part of economic revival, we have a responsibility. One of them is to ensure that we safeguard our gains — that we don’t just jump on the bandwagon and lose out. That is why we said give us some months so that we can better predict what is going to happen tomorrow."

“So, even within the food commodities sector, we see a drop in prices. We said that for a drastic reduction in prices, we need two months to achieve that — but even within that time, prices are dropping. A 50kg bag of rice, previously selling at about GH¢950, is now selling at GH¢750. That’s GH¢200 down. You take general oil — GH¢780 — some are now selling it at GH¢650,” he added.

Ghana ended 2024 with an inflation rate of 23.8%. The rate slightly declined to 23.5% in January 2025 and has continued on a downward trend since.

In February, inflation dropped to 23.1%; in March, it decreased further to 22.4%, and in April it declined again to 21.2%.

This improvement is partly attributed to the cedi’s appreciation — approximately 16% against the US dollar — which helped push inflation down to 21.2% by May 2025.

This marks a significant recovery, considering that Ghana’s inflation rate had peaked at 31.26% in 2022 due to economic disruptions and cedi depreciation.

From April 14 to June 2 this year, the interbank interest rate remained relatively stable, moving slightly from 27.01% to 27.02%.

The Bank of Ghana (BoG) has stated that no bank currently offers loans to individuals at interest rates below 20%. According to BoG data, the cedi appreciated by 19% in April and May alone.

In a statement at the Bank’s 124th Monetary Policy Committee meeting on May 21, BoG Governor Dr. Johnson Asiamah said the central bank is committed to maintaining fiscal and monetary policies that support the cedi’s stability.

Dr. Asiamah noted that the Bank will continue implementing reforms to monitor the forex market and prevent illegal practices that threaten the currency's strength.

The cedi, he said, had gained “significant value — almost 19% — between April and May,” attributing the appreciation to “a combination of factors, including prudent monetary policy, improved market sentiment, and external sector gains.”

Meanwhile, Forbes has reported an 8% depreciation of the US dollar in 2025, while gold prices have increased by 23%, as investors seek safe-haven assets — a trend that has also strengthened the Ghanaian cedi.

The average interbank rates as of Thursday, June 19 show the US dollar buying at GH₵10.29 and selling at GH₵10.30. The British pound is buying at GH₵13.82 and selling at GH₵13.83. The euro is currently being bought at GH₵11.80 and sold at GH₵11.81.