Motorists to enjoy GH¢2 per litre diesel price cut as Mahama announces temporary relief

Nii Ayitey Brown 13:01 - 03 August 2026

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President John Dramani Mahama has ordered a GH¢2.00 per litre reduction in diesel prices for one month, effective August 4, 2026. Here's why the government made the decision, who will benefit, and what it means for transport fares, inflation and the cost of living.

President John Dramani Mahama has directed a GH¢2.00 per litre reduction in diesel prices for one month, with the measure taking effect from August 4, 2026.
The temporary intervention is aimed at cushioning consumers, preventing transport fare increases and easing inflationary pressures amid higher global fuel prices.
Government says it will continue monitoring international energy markets and could introduce additional measures to protect consumers and support Ghana's economic recovery.

President John Dramani Mahama has directed a GH¢2.00 per litre reduction in the regulatory margin on diesel for 1 month, aimed at easing the burden on consumers, preventing transport fare increases and helping to contain inflation.

The directive, announced by the Presidency on Monday, August 3, 2026, will take effect from Tuesday, August 4, and remain in force for one month unless the government decides to review it.

According to a statement signed by Felix Kwakye Ofosu, Spokesperson to the President and Minister for Government Communications, the intervention follows a Cabinet decision and builds on a similar fuel relief programme introduced earlier this year.

"His Excellency the President has directed that in line with the decision of Cabinet and the successful intervention implemented in April 2026, the regulatory margin on diesel be reduced by GHS 2.00 per litre for one (1) month," the statement said.

The government said the temporary measure is intended to protect households and businesses from rising fuel costs and their impact on the wider economy.

"This temporary intervention is intended to cushion consumers, prevent transport fare hikes, contain inflationary pressures, and mitigate the pass-through effect of higher fuel prices on the cost of living," it said.

The statement added that the government would continue to monitor developments in the global energy market before deciding whether further interventions are necessary.

"The Government will continue to monitor developments in the international energy market closely and take additional policy measures, where necessary, to protect the interests of the Ghanaian people and sustain economic recovery."

Second fuel relief intervention this year

The latest directive mirrors a similar intervention introduced in April 2026, when the government absorbed GH¢2.00 per litre on diesel and GH¢0.36 per litre on petrol to shield consumers from soaring global oil prices caused by geopolitical tensions in the Middle East.

What it means for motorists

The government's intervention is expected to lower the pump price of diesel compared with what consumers would otherwise have paid under prevailing market conditions.

Diesel is mostly used by commercial transport operators, haulage companies, farmers, industries and power generators, meaning changes in its price often affect transport fares and the cost of goods and services across the country.

With efforts to reduce the regulatory margin for one month, the government hopes to ease pressure on transport operators and businesses while limiting the impact of higher fuel prices on inflation and household budgets.

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