Former Okaikwei North Member of Parliament, Fuseini Issah, has urged policymakers and the public to exercise caution in interpreting Ghana’s declining inflation figures, warning that lower inflation does not automatically translate into a healthy economy.
According to him, the current disinflation trend may be coming at the cost of economic growth, business expansion and job creation, creating a disconnect between headline macroeconomic indicators and the lived reality of many Ghanaians.
Ghana recorded a 3.8 per cent headline inflation rate in January 2026—the lowest in nearly 27 years—a development that has been widely praised as a major macroeconomic milestone. However, concerns persist over whether the decline reflects genuine improvements in economic fundamentals or is largely the result of tight monetary policies.
Mr Issah noted that restrictive monetary measures, while effective in curbing price pressures, can also constrain access to credit, limit business growth and stifle employment opportunities.
“…Once you restrict the money supply, the economy will not expand, and when the economy is not expanding, there will be no opportunities for people to grow their businesses or generate employment. That is the disconnect we are talking about,” he said in an interview on Channel One TV.
He therefore called for a more balanced assessment of the factors driving inflation, urging policymakers to prioritise sustainable economic growth rather than focusing solely on headline figures.
DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.
DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.
Source: www.myjoyonline.com