Inflation Disparities: Gov’t Must Double Poverty Reduction Policies in North & Not Rely on Charity – Economist

The government has been urged to prioritize poverty reduction programmes in the northern part of the country, as the persistent widening of the inflation gap between the south and north jeopardizes the standard of living.

Dr. Theo Acheampong is calling for a sustained national effort to tackle poverty in Ghana’s northern regions, since the fresh inflation data published by the Ghana Statistical Service (GSS) reinforces the inflation disparities between the North and the rest of the country.

The June 2025 inflation figures released by the Ghana Statistical Service reveal a worrying trend. The northern regions, Upper West, Upper East, and North East, have inflation rates significantly higher than the other regions. Upper West recorded 32.3%,  Upper East recorded 18.9%, and North East had 17.3%.

These regions recorded inflation rates higher than the national inflation rate. These northern regions stand in sharp contrast to places like Bono East (8.4%), Ahafo (8.7%), and Greater Accra (12.2%), which are closer to or below the national average of 13.7%.

Commenting on these disparities, Dr. Acheampong noted that this north-south inflation divide has persisted for over 15 years, largely mirroring the regional poverty gap.

He warned that relying on occasional donor-funded initiatives or charity campaigns, often seen “on billboards when driving up north,” is not enough. He insists that the country needs to double down on real poverty eradication, not symbolic gestures.  The The economist is pointing out the need for aggressive investments in agriculture, education, health, and infrastructure in the northern zones.

“This has always been the case over the past 15 or so years. The 3 former Northern regions (and sometimes Central) have always had higher inflation than the rest of the country. Higher poverty levels and other local dynamics are at play there,” he remarked.

He added, “We need to seriously double up poverty eradication efforts in the northern regions; not just the charity/donor-funded campaigns we sometimes see captured in various billboards when driving up north.”

Experts say regional inflation disparities reflect deeper economic inequalities. In poorer regions, a larger share of household income goes to essentials like food, which makes inflation more painful. Limited competition in local markets, poor transportation, and seasonal dependencies further worsen pricing pressures.

Although the country is celebrating the overall drop in inflation, Dr. Acheampong says that until the structural roots of poverty in the northern belt are addressed, headline numbers will mask the daily struggles of millions.

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