Professor Newman Kwadjo Kusi, the Technical Advisor to the Finance Minister, Dr Kwabena Duffuor, is projecting an end of year inflation target of 8.5 percent or even less. September inflation stands at 9.38 percent, buoyed by a very significant contribution from the food component of the index. The government is hoping to end the year at 9.2 percent. But Professor Kusi believes all indications point to an even better performance. He said managers of the economy were expecting a bumper harvest which will further boost the food component of the index and the “government is not borrowing, reducing the fiscal deficit.” Prof. Kusi said the cedi was appreciating against the major trading currencies and fueling the optimism. Among the real threats facing the government’s inflation target however are the impact of the several agitations for increased salaries from sections of the public sector workforce and the impact of the single spine salary structure and indications that an increase in fuel price that Joy Business has learnt government is contemplating. Source: Joy Business/Ghana