Economist and Dean of the University of Cape Coast Business School, Prof. John Gatsi, has urged the incoming administration of John Mahama to prioritize reducing food inflation.

Prof. Gatsi believes tackling food inflation would provide significant relief to households, especially those who spend a substantial portion of their income on food.

His comments follow recent data from the Ghana Statistical Service, which revealed that food inflation rose to 25.9% in November 2024, up from 22.8% in October.

In an interview with Joy Business, Prof. Gatsi emphasized that addressing the rising cost of food is critical for controlling overall inflation. He suggested that the new government must focus on boosting the production of food items that are currently in short supply.

“It is evident that food inflation is a major concern. The next administration must direct its policymakers to address this issue by increasing production of essential food items. This is a crucial step,” he stated.

Prof. Gatsi further recommended that agricultural investments must be well-targeted to ensure efficiency. He called on the Ministry of Agriculture to reassess its strategies and set clear targets aimed at curbing food inflation, which will ultimately lower market prices.

He also stressed the importance of directing financial resources to rural economies where the majority of food production occurs, noting that this approach is essential for sustainable solutions.

According to him, increased investment in agriculture will not only tackle food inflation but also create ripple effects across other sectors, stimulating broader economic growth.

Source: TheDotNews