New data from the Ghana Statistical Service (GSS) indicates that labour costs remain the biggest challenge facing the country’s construction sector, despite a continued easing of overall cost pressures.

Year-on-year labour inflation stood at 10.7 per cent, down from 12.7 per cent in November. Inflation for building materials declined further to 2.7 per cent, while plant and equipment inflation rose to 5.6 per cent, even though prices in both categories recorded slight month-on-month decreases.

According to the report, equipment, skilled labour, and steel were the main drivers of construction inflation, while cement and reinforcement materials posted price declines.

The country’s building construction inflation fell again in December 2025, easing to 4.4 per cent from 5.9 per cent in November. The GSS noted that this marks the eighth consecutive year-on-year decline in construction cost inflation, signalling a gradual reduction in price pressures across the sector.

The Prime Building Cost Index stood at 131.0 in December 2025, marginally lower than the 131.3 recorded in December 2024.

On a monthly basis, building input prices edged up slightly by 0.2 per cent between November and December 2025, reflecting minimal movement despite the broader downward trend.

The GSS said the relative stability in construction costs presents opportunities for households, businesses, and government.

It encouraged individuals to begin or continue building projects, advised businesses to lock in prices through medium-term contracts, and urged the government to accelerate infrastructure development while costs remain comparatively low.