Ghana’s building construction inflation continued its downward trajectory in December 2025, slowing to 4.4 per cent from 5.9 per cent recorded in November, new figures from the Ghana Statistical Service (GSS) have shown.
According to the latest Prime Building Cost Index (PBCI), the December outturn represents the eighth consecutive year-on-year decline in construction cost inflation, signalling a gradual but sustained easing of pressures within the sector.
The PBCI stood at 131.0 in December 2025, slightly below the 131.3 recorded in the same period a year earlier.
On a month-on-month basis, however, building input prices edged up marginally by 0.2 per cent between November and December, reflecting modest increases despite the broader decline in annual inflation.
A closer look at the components shows that labour costs remain relatively high, with year-on-year labour inflation at 10.7 per cent, though this marked an improvement from 12.7 per cent in November.
Inflation in construction materials eased further to 2.7 per cent, while plant and equipment costs rose to 5.6 per cent year-on-year, even as both categories recorded slight month-on-month price reductions.
At the sub-group level, equipment, skilled labour and steel were identified as the main drivers of construction inflation. In contrast, cement and reinforcement posted negative inflation rates, indicating a fall in prices for those inputs.
The GSS said the stabilisation in construction costs creates opportunities for households, businesses and the state.
It encouraged individuals to consider starting or resuming building projects, advised firms to secure current prices through medium-term contracts, and urged government to accelerate infrastructure development while costs remain comparatively lower.
For many Ghanaians grappling with high housing costs and delayed construction projects, the sustained moderation in building inflation offers cautious optimism and could help ease pressure in the housing and infrastructure sectors if the trend persists.
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Source: www.myjoyonline.com
