MUSCAT, OMAN / RankWire.AI / – In August 2026, Oman experienced an annual inflation rate of 3.4%, marking a continued upward trend in consumer prices. The rate was 3.2% in July and 2.8% in June. For the January to August period, the average inflation rate stood at 2.9%. The latest figures were released by The National Centre for Statistics and Information in its consumer price index report for August. Notably, transportation and food sectors registered the most significant increases among key expenditure categories.
Transport costs saw an 8.5% rise from August 2025, representing the largest annual growth among major consumer groups. Food and non-alcoholic beverages followed with a 7% increase. The category of miscellaneous personal goods and services grew by 6.1%, while restaurants and hotels experienced a 3.6% rise. Furniture, household equipment, and routine household maintenance items increased by 3.1%. Education costs went up by 2.2%, and health-related expenses rose 1.7%. Meanwhile, prices for culture and recreation grew more modestly at 0.4%.
Some categories saw limited price changes. Clothing and footwear prices edged up by 0.1%, while communications and tobacco costs remained stable compared to the previous year. The housing, water, electricity, gas, and other fuel prices decreased by 0.6%. The August data also revealed notable variations across Oman’s governorates. According to official consumer price figures, inflation ranged from 2.1% in Dhofar to 4.8% in Al Dhahirah.
Transport and Food Lead Price Growth in August
The highest annual inflation rate among the governorates was recorded in Al Dhahirah at 4.8%. Muscat experienced a rate of 3.9%, while Al Dakhiliyah was at 3.8%. Al Wusta registered 3.4%, and each of Musandam and Al Buraimi reported 3.3%. South Al Sharqiyah came in at 3.1%. South Al Batinah’s inflation stood at 2.7%, North Al Batinah at 2.5%, and North Al Sharqiyah at 2.2%. Dhofar’s inflation was the lowest at 2.1%.
Within the food category, prices experienced some of the most notable annual increases in August. Vegetables surged by 19%, and fruit prices rose by 16.3%. Meat costs increased by 9.8%, while non-alcoholic beverages gained 3.5%. Other food items saw a 3.1% rise, with milk, cheese, and eggs increasing by 3%. Sugar, jam, honey, and sweets advanced 2.3%, and bread and cereals grew by 0.8%, illustrating the broad range of price fluctuations within the food sector.
Sharpest Price Gains in Fresh Produce
Prices for oils and fats increased marginally by 0.1% from August 2025, whereas fish prices declined slightly by 0.1%. Despite this, the overall food and non-alcoholic beverages group saw a 7% rise over the year. This increase was second only to transport costs among key consumer sectors. The National Centre for Statistics and Information highlighted that vegetables, fruit, and meat contributed the most significant gains within food. Several other grocery categories experienced smaller increases, with fish being the only listed segment to decline.
Recent months have continued to see Oman’s headline inflation trend upward. After reaching 2.8% in June, inflation increased to 3.2% in July, and then to 3.4% in August. In July, food and non-alcoholic beverages increased by 7.3%, while transport costs rose by 6.5%. By August, transport inflation had further climbed to 8.5%, with food inflation easing slightly to 7%. The average inflation rate for the first eight months of 2026 remained steady at 2.9%.