Ghanaian consumers are expected to experience further relief at the pumps as fuel prices continue their downward trend.
Starting in late December 2025, petrol prices are projected to decrease by 1.5%, settling at GH₵14.88 per litre. Diesel and Liquefied Petroleum Gas (LPG) will see more marginal reductions of 0.3%, bringing their respective costs to GH₵15.50 per litre and GH₵17.45 per kilogram.
This development marks the fifth consecutive price drop since February 2025, a period that has seen a significant cooling of energy costs in the country.
Market Drivers Behind the Reduction
The primary catalyst for this trend is the sustained decline in the global “Brent” crude oil benchmark. International prices have retreated from US64 per barrel over the past few months. This reduction in raw material costs, coupled with a decrease in the international market prices for finished petroleum products (refined diesel and LPG), has allowed local Oil Marketing Companies (OMCs) to pass on savings to Ghanaian motorists.
Impact on Transport Fares and Cost of Living
While the price drop is a positive sign for the economy, it may not immediately translate into lower public transport fares. The Ghana Private Road Transport Union (GPRTU) has maintained a cautious stance, noting that fuel is only one component of their operational costs. Drivers are currently grappling with:
- Rising premiums for vehicle insurance.
- The high cost of imported spare parts.
- General maintenance inflation.
According to GPRTU representatives, a meaningful reduction in transport fares would likely only be considered if petrol prices fall further to approximately GH₵12 per litre.
Economic Outlook
The continuous decline in fuel costs since February is expected to exert downward pressure on general inflation. As the cost of transporting food and essential goods eases, the broader cost of living for Ghanaians may continue to stabilize, providing much-needed breathing room for households during the festive season.
