Bank of Ghana Governor Dr. Johnson Asiama confirmed the fiscal roadmap, set for parliamentary presentation on March 11, aims to address structural bottlenecks in food supply chains while restoring macroeconomic stability amid mounting pressure on households and businesses.

In an interview with Bloomberg, Asiama acknowledged that recent inflation data overshot projections, with food costs accounting for nearly 60% of the 34.8% year-on-year price surge recorded in February. “Food inflation is deeply entrenched and demands targeted intervention,” he said, signaling plans to boost agricultural productivity, streamline distribution networks, and curb speculative pricing. The central bank chief also announced an April meeting of the Monetary Policy Committee (MPC) to reassess interest rates and liquidity measures, hinting at potential tightening if fiscal efforts falter.

The pledge comes as Ghana grapples with the dual shocks of global commodity volatility and domestic supply constraints. Staple foods like maize, rice, and cooking oil have seen prices triple since 2022, squeezing low-income families and stoking public discontent. Economists attribute the crisis to poor harvests, transportation inefficiencies, and currency depreciation, which has inflated import costs for fertilizers and machinery.

Analysts warn that without urgent reforms, Ghana risks derailing its $3 billion IMF bailout program, which mandates single-digit inflation by 2026. “Food inflation isn’t just a pocketbook issue—it’s a threat to social cohesion,” said Accra-based Financial Journalist Roger A. Agana. “Subsidies or price controls might offer short-term relief, but sustainable fixes require modernizing farming and storage infrastructure.”

The 2025 budget is expected to expand initiatives like the Planting for Food and Jobs program, though critics argue past editions were marred by corruption and logistical failures. Asiama’s emphasis on “structural solutions” suggests a pivot toward private-sector partnerships and tech-driven agriculture, though details remain scarce.

Meanwhile, the central bank faces a delicate balancing act. With the cedi stabilizing at 12.5 to the dollar—a 20% gain from 2023’s lows—further rate hikes could stifle fragile business recovery. Yet inflation remains nearly triple the 10% target, leaving policymakers with few palatable options.

As parliament debates the budget, Ghanaians await concrete steps to ease the cost-of-living crisis. For Asiama and President Mahama’s administration, the challenge is clear: deliver credible solutions now or risk a hunger crisis eclipsing economic recovery.