SONA 2026: "Petrol prices drop from GH¢15.2 to GH¢10.7 per litre" - President Mahama

President John Dramani Mahama has provided detailed justification for the sharp reduction in petrol prices, announcing on the floor of Parliament that fuel costs have fallen from GH¢15.2 to GH¢10.7 per litre, with recent prices dipping further to GH¢9.97 per litre.

Delivering the 2026 State of the Nation Address (SONA), President Mahama linked the fuel price decline to broader macroeconomic stabilization measures implemented under his administration’s Reset agenda.

The President explained that high inflation and exchange rate volatility were previously the primary drivers of rising fuel costs. Inflation, which peaked at 54.1% in December 2022, declined to 23.6% by the end of 2024, and further dropped to 3.8% over 10 consecutive months by January 2026, following what he described as disciplined monetary policy and currency stabilization efforts.

He emphasized that food inflation fell significantly, easing pressure on household budgets, while inflation for locally produced goods also recorded substantial reductions.

President Mahama attributed renewed economic confidence to strict fiscal management.

According to him: Ghana’s GDP reached $113 billion in 2025, up from $83 billion in 2024.

Average GDP growth for the first three quarters of 2025 stood at 6.1%.

The primary surplus reached 2.6% of GDP, surpassing the 1.5% target.

The fiscal deficit closed at 3.1%, below the projected 3.8%.

Public debt declined by GH¢82.1 billion, reducing the debt-to-GDP ratio from 61.8% to 35.3%.

He also disclosed that Ghana settled a US$709 million Eurobond ahead of schedule on January 2, completing a total US$1.4 billion debt service obligation for 2025.

The President noted that international credit rating agencies — including Fitch Ratings, Moody's Investors Service, and Standard & Poor's — responded with upgrades, describing it as Ghana’s first “triple upgrade” in years.

President Mahama stressed that the fuel price drop is not merely statistical but translates into practical relief for citizens.

He said the reduction benefits an estimated 3.7 million vehicle owners and millions more who depend on public transportation.

Lower fuel prices, he argued, reduce transport costs, ease pressure on food prices, and improve operational conditions for businesses, thereby stimulating economic activity and job creation.

“Ghana’s credibility is restored. Ghana is rising,” the President declared, framing the development as part of a broader recovery following the December 19, 2022 debt default and subsequent restructuring process.

Story by: Hawa Abubakar