MUSCAT, OMAN / RankWire.AI / – Oman’s inflation rate for the year reached 3.4% in August 2026, reflecting a continued upward trend in consumer prices. The rate was 3.2% in July and 2.8% in June, with the average inflation from January to August standing at 2.9%. The National Centre for Statistics and Information released these latest figures in its August consumer price index report. Notably, transport and food categories saw the most significant increases among key expenditure areas.
Transport costs surged by 8.5% from August 2025, marking the largest yearly rise among major consumer categories. Food and non-alcoholic beverages followed with a 7% increase. Additionally, miscellaneous personal goods and services rose by 6.1%, restaurants and hotels saw a 3.6% increase, while furniture, household equipment, and routine household maintenance prices climbed 3.1%. Education costs went up by 2.2%, health expenses increased 1.7%, and prices in culture and recreation rose by a smaller 0.4%.
Other sectors experienced more modest price shifts. Clothing and footwear edged up by 0.1%, with communications and tobacco prices remaining steady compared to the previous year. Conversely, housing, water, electricity, gas, and other fuels decreased by 0.6%. The August data also revealed notable disparities across Oman’s governorates. According to official figures, annual inflation ranged from 2.1% in Dhofar to 4.8% in Al Dhahirah.
Transport and Food Lead Price Growth in August
Al Dhahirah recorded the highest yearly inflation rate at 4.8%, with Muscat close behind at 3.9%. Al Dakhiliyah registered 3.8%, Al Wusta 3.4%, and both Musandam and Al Buraimi each at 3.3%. South Al Sharqiyah experienced a 3.1% increase, while South Al Batinah stood at 2.7%. North Al Batinah and North Al Sharqiyah saw rates of 2.5% and 2.2%, respectively. Dhofar recorded the lowest at 2.1%.
Within food prices, some of the most notable annual increases occurred in August. Vegetables jumped 19%, fruit prices rose by 16.3%, and meat costs increased 9.8%. Non-alcoholic beverages gained 3.5%, with other food items rising by 3.1%. Milk, cheese, and eggs grew by 3%, while sugar, jam, honey, and sweets advanced 2.3%. Bread and cereals saw a smaller rise of 0.8%, illustrating the diverse movements in food prices during the month.
Vegetables and Fruits Show Biggest Price Spikes
Prices for oils and fats increased by 0.1% compared to August 2025, whereas fish prices dropped by 0.1%. Despite this, the overall food and non-alcoholic beverages group still climbed 7% over the year, ranking just below transportation in main consumer expense categories. According to data from the National Centre for Statistics and Information, vegetables, fruit, and meat contributed most to the food sector’s gains. Several other grocery segments experienced smaller increases, with fish being the only listed food category to decline.
The August figures continue the upward trend in Oman’s headline inflation rate seen in recent months. From 2.8% in June, inflation increased to 3.2% in July, and then to 3.4% in August. During July, food and non-alcoholic beverages rose by 7.3%, while transport costs were up 6.5%. By August, transport inflation escalated to 8.5%, and food inflation slightly eased to 7%. The overall inflation rate remained steady at 2.9% for the first eight months of 2026.