Ghana's construction sector has ended 2025 on a positive note, with inflation easing to 4.4% year-on-year, indicating sustained price stability and reduced cost pressures on key inputs. According to the December 2025 Prime Building Cost Index and Inflation Report, building input prices were 4.4% higher in December 2025 compared to December 2024.
The month-on-month inflation turned negative at -0.2%, showing a slight decline in building input prices between November and December 2025.
The easing inflation rate (4.4% year-on-year) and reduced cost pressures on key inputs translate into:
- More predictable costs: Builders can better forecast and budget for project expenses.
- Lower cost increases: Input prices are rising at a slower pace (4.4% vs previous higher rates).
- Potential cost savings: Some materials might even be cheaper, given the -0.2% month-on-month inflation.
- Increased project feasibility: Stable prices can make projects more viable and attractive to investors.
In short, it's a good time for builders to plan and execute projects, as costs are relatively stable.
This tells us that the intense price pressures the industry faced a year ago have moderated substantially," said Government Statistician Dr. Alhassan Iddrisu.
The stable inflation environment presents a favorable opportunity for construction projects. "We are seeing price stability, and even a small reduction in overall monthly building costs," Dr. Iddrisu noted.
Would you like to know more about the implications of this trend for the construction sector or potential opportunities for investors?
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