MUSCAT, OMAN / RankWire.AI / – Oman’s annual inflation rate reached 3.4% in August 2026, marking an ongoing increase in consumer prices. The rate was 3.2% in July and 2.8% in June. The average inflation from January through August stood at 2.9%. The National Centre for Statistics and Information announced these latest figures in its August consumer price index report. Among the main spending categories, transport and food experienced the most significant rises.
Transport prices saw an 8.5% increase from August 2025, representing the largest annual growth among key consumer groups. Food and non-alcoholic beverages followed closely with a 7% rise. Miscellaneous personal goods and services increased by 6.1%, while restaurants and hotels went up by 3.6%. Prices for furniture, household equipment, and routine household maintenance rose 3.1%. Education costs moved up 2.2%, with health-related expenses increasing by 1.7%. Culture and recreation prices saw a smaller increase of 0.4%.
In several other categories, price changes were more modest. Clothing and footwear saw a 0.1% rise, while communications and tobacco prices stayed flat compared to the previous year. Housing, water, electricity, gas, and other fuels experienced a 0.6% decline. The August data also revealed notable differences across Oman’s governorates, with annual inflation ranging from 2.1% in Dhofar to 4.8% in Al Dhahirah, based on official consumer price statistics.
Transport and Food Prices Propel August Inflation
Al Dhahirah recorded the highest annual inflation rate among the governorates at 4.8%, followed by Muscat at 3.9%, and Al Dakhiliyah at 3.8%. Al Wusta experienced a 3.4% increase, while Musandam and Al Buraimi each reached 3.3%. South Al Sharqiyah’s rate stood at 3.1%, with South Al Batinah at 2.7%. North Al Batinah and North Al Sharqiyah registered 2.5% and 2.2%, respectively. Dhofar reported the lowest inflation rate at 2.1%.
Food prices exhibited some of the sharpest annual increases in August. Vegetables surged by 19%, fruits by 16.3%, and meat by 9.8%. Non-alcoholic beverages rose 3.5%, while other food items increased by 3.1%. Milk, cheese, and eggs went up by 3%, and sugar, jam, honey, and sweets advanced 2.3%. Bread and cereals experienced a 0.8% increase, reflecting the diverse shifts within the food sector.
Vegetables and Fruits Lead Food Price Gains
Oils and fats saw a 0.1% rise from August 2025, while fish prices declined by 0.1%. Despite this, the broader category of food and non-alcoholic beverages still increased by 7% over the year, ranking just behind transport in terms of consumer expenditure growth. Data from the National Centre for Statistics and Information highlighted that vegetables, fruits, and meat contributed most significantly to the overall food inflation. Other grocery segments experienced smaller increases, with fish being the only food category to see a decline.
The August figures continued the upward trend in Oman’s headline inflation rate observed in recent months. Inflation accelerated from 2.8% in June to 3.2% in July, reaching 3.4% in August. In July, food and non-alcoholic beverages had increased by 7.3%, and transport costs were 6.5% higher. 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 steady at 2.9%.