By: Franklin ASARE-DONKOH
New data from the Ghana Statistical Service (GSS) shows that labour costs remain the biggest challenge in the country’s construction sector.
Year-on-year labour inflation stood at 10.7 per cent, although this was lower than the 12.7 per cent recorded in November. Inflation for building materials fell further to 2.7 per cent, while plant and equipment inflation rose to 5.6 per cent, even though prices in both categories declined slightly month-on-month.
Equipment, skilled labour, and steel were the main drivers of construction inflation, while cement and reinforcement recorded price declines.
Per the latest report, Ghana’s building construction inflation fell again in December 2025, dropping to 4.4 per cent from 5.9 per cent in November.
The GSS noted that the drop marks the eighth straight year-on-year decline in construction cost inflation, a sign that price pressures in the sector are gradually easing.
The Prime Building Cost Index stood at 131.0 in December 2025, slightly lower than the 131.3 recorded in December 2024.
On a monthly basis, building input prices rose marginally by 0.2 per cent between November and December 2025, showing only a small increase despite the overall downward trend.
The GSS said the relative stability in construction costs creates opportunities for households, businesses, and government.
It encouraged individuals to start or continue building projects, advised businesses to secure prices through medium-term contracts, and urged the government to speed up infrastructure projects while costs remain comparatively lower.
