Group 1 - The Producer Price Index (PPI) in Ghana increased by 1.9% year-on-year in December 2025, up from 1.3% in November 2025, but down significantly from 26.1% in December 2024, indicating a substantial decrease of 24.2 percentage points [1] - Month-on-month, the PPI decreased by 0.8% in December 2025 compared to November 2025, suggesting a slight decline in production prices during that month [1] - The mining and quarrying sector, which has a weight of 43.7%, saw its producer inflation rate rise from 2.3% in November to 3.3% in December, an increase of 1.0 percentage points [1] Group 2 - The manufacturing sector, with a weight of 35.0%, experienced a decrease in its inflation rate from 0.5% in November to 0.1% in December, a decline of 0.4 percentage points [1] - The transportation and storage sector continued to see a downward trend, with its inflation rate narrowing from -10.2% in November to -3.7% in December [1] - The Ghana Statistical Service provided recommendations for different economic entities, urging households to adjust purchasing decisions based on PPI trends and to focus on more stable-priced goods to protect real income [2]

Core Insights - The US services sector expanded at its fastest pace in over a year in December, driven by robust demand growth and a rebound in hiring [1] - The ISM services index rose by 1.8 points to 54.4, marking the highest level since October 2024, and exceeded market expectations of 52.2 [1] - The December reading surpassed all forecasts in a survey of economists [1] Industry Performance - In December, 11 industries reported growth, led by retail, finance and insurance, and accommodation and food services; 5 industries contracted, including management and support services [5] - The strong performance of the services sector contrasts sharply with the weakness in manufacturing, which saw the most severe contraction since 2024 [5] Economic Indicators - New orders increased at the fastest rate since September 2024, and the index measuring business activity reached a one-year high [6] - Export orders grew at the fastest pace in over a year, indicating a recovery in demand [6] - Employment in the services sector saw the healthiest growth since February, with expectations of moderate growth in non-farm payrolls and a slight decrease in the unemployment rate [6] Price and Inventory Trends - The ISM services and materials prices index showed the slowest price increase in nine months [6] - Inventory expansion reached its fastest pace since October 2024, although the inventory sentiment index declined for the third consecutive month, indicating fewer firms believe their inventories are excessive [6] - The supplier delivery index fell 2.3 points from a one-year high [6] Sector-Specific Comments - Accommodation and food services reported high price pressures due to government trade and tariff policies, particularly affecting imports from Southeast Asia and South America [7] - The agriculture, forestry, fishing, and hunting sector noted flat overall business performance, with strong demand for value brands but challenges for high-end brands [7] - The finance and insurance sector reported stable business conditions with most contracts being renewed as the new year approaches [7] - The healthcare and social assistance sector experienced a surge in demand for respiratory devices and related supplies due to rising flu cases [7] - The information sector faced the highest annual price increases from major service and data providers in years, pushing costs higher [7] - Public administration expressed ongoing uncertainty and concerns regarding tariffs and their pricing impacts [7] - The transportation and warehousing sector benefited from heightened business activity during the holiday season [7]