By Ashiadey Dotse
Government Statistician, Dr. Alhassan Iddrisu, has on Tuesday, October 27, 2026, revealed that building cost inflation in Ghana has risen to 5.1% in September 2026, up from 4.6% in August, although the rate remains significantly lower than the 9.7% recorded in September 2025.
He said the latest figures show that building costs are rising at almost half the pace recorded a year ago, but the cost of plant and equipment continues to increase much faster than the overall index.
The figures were captured in the September 2026 Prime Building Cost Index (PBCI), which tracks changes in construction costs using prices of 406 materials, labour and equipment items collected from 489 outlets across 16 markets.
According to Dr. Iddrisu, month-on-month inflation stood at 0.03% in September, indicating that building costs remained relatively stable compared to August.
He explained that the increase in the annual inflation rate was largely influenced by the low prices recorded in September 2025.
Materials drive building cost inflation
The Government Statistician said materials, which account for half of the building cost basket, recorded an inflation rate of 6.5% in September, up from 5.8% in August.
The materials group contributed 97.2% to the overall building cost inflation.
Plant and equipment inflation also rose to 19.1%, from 17.5% in the previous month, making it one of the fastest-rising components of construction costs.
Meanwhile, labour inflation declined by 3.2%, compared with a 2.9% fall in August, helping to reduce pressure on the overall index.
Electrical wires, metalwork push costs higher
The Service identified electrical wires, metalwork, glazing, plumbing and tiles as the major contributors to building cost inflation.
Electrical wires recorded an inflation rate of 41.1%, followed by metalwork at 22.3%, glazing at 20.8%, plumbing at 18.5% and tiles at 14.7%.
Reinforcing mesh recorded the highest price increase of 29%, followed by plumbing materials at 27.5%, small tools at 24.8%, roofing sheets at 23.4% and glazing materials at 20.6%.
However, prices of some construction inputs declined during the period.
Steel recorded a fall of 8.8%, while cement declined by 6.1%. Unskilled labour also fell by 5.7%, fine aggregate by 3.2% and skilled labour by 1.7%.
GSS urges stakeholders to use current data
Dr. Iddrisu said the relatively stable building cost environment presents an opportunity for government to implement construction projects within budget while closely monitoring the rising cost of plant and equipment.
He also urged businesses to use current data when pricing construction contracts and consider fair price adjustment clauses.
Households were encouraged to update their construction budgets, plan building activities carefully and compare quotations from trusted suppliers.
The Ghana Statistical Service reaffirmed its commitment to providing timely, accurate, relevant and credible statistics to support evidence-based decisions and national development.
