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Home General News

Dr Johnson Asiama Vows to Rein in Food Inflation with 2025 Budget Measures

GhanaPoliticsOnline.com by GhanaPoliticsOnline.com
March 4, 2025
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Governor of the Bank of Ghana, Dr. Johnson Asiama, has revealed that the upcoming 2025 budget will introduce targeted measures to curb food inflation, a significant driver of overall inflation.

This move aims to stabilize prices and ensure macroeconomic stability, as rising food prices continue to drive up household expenses and business costs.

In an interview with Bloomberg, Dr. Asiama acknowledged that the latest inflation reading exceeded expectations, primarily due to food price pressures.

He emphasized that these pressures are structural and require policy action. “Last reading came in a little higher but we think that going forward if you look at the causes of the inflationary pressures, it was mainly from food inflation. It was mainly structural in nature and so therefore the coming budget statement which is about to be presented should be presenting a number of measures that can contain food inflation. If that is done, I am sure we will see a return to the disinflation path,” he stated.

To address the issue, the Bank of Ghana’s Monetary Policy Committee (MPC) will convene next month to reassess economic conditions and determine an appropriate policy response. Dr. Asiama noted, “We plan to hold the next monetary policy meeting next month where we will reassess the conditions and take an appropriate decision. Therefore once we have an appropriate monetary policy stance in place and then also food price inflation is well controlled, we will begin to see inflation trending back to its target path”

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