World Bank Report Reveals About 850,000 Ghanaians Pushed Into Poverty Because Of High Inflation In 2022

• The World Bank has said nearly 850,000 Ghanaians were pushed into poverty because of high inflation in 2022
• The World Bank, in a new report, also said about 823,000 Ghanaians were made food insecure because of high inflation.
• The report noted that wages of poor people are not enough to keep up with the staggering inflation rate

About 850,000 Ghanaians were pushed into poverty because of high inflation in 2022, according to the World Bank report.

The report also said food security was a significant problem in 2022, with 823,000 Ghanaians being made food-insecure by the end of the year.

Year-on-year inflation in Ghana rose from 14% in 2021 to 54% in 2023, which was the highest inflation level in over two decades.

The report explained that as food prices increased, many Ghanaians struggled to satisfy their food needs.

Read also

UK annual inflation drops under eight percent

“As a result, by the last quarter of 2022, a quarter of the population was deemed food insecure, and the rate is expected to persist well into 2023," the report stated.

The report added that the depreciation of the cedi also contributed to inflation by driving up the prices of imported goods and services.

Though Ghana increased the minimum wage, the report said the adjustment was too insignificant to cover the high levels of inflation.

This led to the erosion of the living standards of poor Ghanaians especially.

Food security is defined by the United Nations Committee on World Food Security as the physical, social, and economic access to sufficient, safe, and nutritious food that meets people’s food preferences and dietary needs for an active and healthy lifestyle.

Read also

China's economy grew 6.3% on-year in second quarter

Current inflation figures

YEN.com.gh reported that current inflation figures have seen the rate hit 42.5%.

The current inflation rate rose from the May figure of 42.2% as prices rose by 3.2% in June.

Food inflation increased to 54.2% from 51.8% in May, while non-food inflation reduced to 33.4% from 34.6%.

At some point in 2022, the World Bank ranked Ghana as the country with the highest food prices in Africa.

Source: YEN.com.gh