MUSCAT, OMAN / RankWire.AI / – Oman’s yearly inflation reached 3.4% in August 2026, marking a continuation of the recent upward trend in consumer prices. The inflation rate was 3.2% in July and 2.8% in June, with an average of 2.9% from January to August. The latest figures were published by The National Centre for Statistics and Information in its August consumer price index report. Among the main expenditure categories, transport and food experienced the most significant increases.
Transport costs grew by 8.5% compared to August 2025, representing the highest annual rise among key consumer groups. Food and non-alcoholic beverages followed, with a 7% increase. The category of miscellaneous personal goods and services saw a 6.1% rise, while restaurants and hotels saw a 3.6% increase. Furniture, household equipment, and routine household maintenance costs increased by 3.1%. Education prices went up by 2.2%, with health expenses rising 1.7%. Prices for culture and recreation went up more modestly, by 0.4%.
Price movements in several other categories were more contained. Clothing and footwear showed a marginal increase of 0.1%, while communications and tobacco prices remained steady compared to the previous year. Housing, water, electricity, gas, and other fuels experienced a decline of 0.6%. The August data also highlighted notable differences across Oman’s governorates. According to official consumer price figures, annual inflation ranged from 2.1% in Dhofar to 4.8% in Al Dhahirah.
Transport and food are primary drivers of August’s inflation
The governorate of Al Dhahirah recorded the highest annual inflation rate at 4.8%. Muscat followed with 3.9%, and Al Dakhiliyah registered 3.8%. Al Wusta’s rate was 3.4%, while Musandam and Al Buraimi each posted 3.3%. South Al Sharqiyah experienced a 3.1% increase. South Al Batinah stood at 2.7%, North Al Batinah at 2.5%, and North Al Sharqiyah at 2.2%. Dhofar had the lowest inflation at 2.1%.
Within the food category, prices saw some of the most significant annual jumps in August. Vegetables rose by 19%, while fruit prices increased by 16.3%. Meat costs climbed 9.8%, and non-alcoholic beverages grew by 3.5%. Other food items increased by 3.1%, with milk, cheese, and eggs rising 3%. Sugar, jam, honey, and sweets gained 2.3%. Bread and cereals saw a modest increase of 0.8%, illustrating the broad spectrum of price changes within the food sector.
Vegetables and fruit lead in price hikes
Oils and fats saw a slight increase of 0.1% from August 2025, while fish prices declined marginally by 0.1%. The overall food and non-alcoholic beverages category still experienced a 7% rise over the year. According to data from The National Centre for Statistics and Information, vegetables, fruit, and meat contributed the most to the annual increase within the food segment. Several other grocery categories recorded smaller rises, with fish being the only food sector to decrease in price.
The August inflation figures continue the upward trend seen in Oman’s headline rate during recent months. The annual inflation rate increased from 2.8% in June to 3.2% in July and reached 3.4% in August. In July, food and non-alcoholic beverages had increased by 7.3%, and transport prices rose by 6.5%. By August, transport inflation had climbed further to 8.5%, while food inflation eased slightly to 7%. The average inflation rate for the first eight months of 2026 remained at 2.9%.