Finance Minister Dr. Cassiel Ato Forson has expressed confidence that Ghana’s inflation rate will remain below 5 per cent by the end of 2026, citing the country’s strong reserve position, rising gold exports and resilient export earnings despite growing geopolitical tensions in the Middle East.
Speaking in an interview with Bloomberg, Dr. Forson acknowledged that the ongoing conflict in the region presents risks to the global economy, particularly through higher petroleum and fertiliser prices as well as disruptions to international supply chains. However, he maintained that Ghana is well-equipped to manage the potential fallout.
According to the Finance Minister, the country’s improved foreign exchange reserves and strong performance in the gold sector provide a significant cushion against external shocks.
“Our gold production is going up and gold prices remain high. Ghana is therefore in a comfortable position to withstand these shocks,” he stated.
Dr. Forson noted that while global events could exert some upward pressure on domestic prices, Ghana’s economic fundamentals remain strong enough to keep inflation under control.
He projected that inflation, which rose slightly from 3.2 per cent in March to 3.4 per cent in April after 15 consecutive months of decline, would remain within manageable levels and end the year below 5 per cent.
The Finance Minister explained that unlike some countries, Ghana does not subsidise petroleum products, reducing the fiscal burden associated with rising global oil prices. He added that the country’s reserve buffers and export earnings are helping to meet foreign exchange demand for critical imports.
Dr. Forson also pointed to positive developments in Ghana’s export sector, highlighting strong performances in gold and oil exports, while noting that cocoa prices have begun recovering after recent declines.
His remarks come as the Bank of Ghana adopts a more cautious approach to monetary policy. The central bank recently maintained its policy rate at 14 per cent, citing concerns that escalating tensions in the Middle East and rising crude oil prices could threaten recent gains in price stability.
Despite these risks, the Finance Minister remains optimistic that Ghana’s economic resilience and strong export performance will help keep inflation firmly under control in the months ahead.
