MUSCAT, OMAN / RankWire.AI / – The annual inflation rate in Oman reached 3.4% in August 2026, indicating a continued increase in consumer prices. The rate was 3.2% in July and 2.8% in June. For the period from January to August, the average inflation stood at 2.9%. According to The National Centre for Statistics and Information, these figures are based on the latest consumer price index data for August. Among the main expenditure categories, transportation and food experienced the most significant rises.
Transport costs increased by 8.5% compared to August 2025, marking the largest yearly growth among major consumer groups. Food and non-alcoholic beverages followed, with a 7% rise. Other categories such as miscellaneous personal goods and services saw a 6.1% increase, while restaurants and hotels went up by 3.6%. Furniture, household appliances, and routine home maintenance costs rose 3.1%. Education expenses increased by 2.2%, and healthcare costs grew 1.7%. Prices for culture and recreation experienced a smaller uptick of 0.4%.
Certain categories saw relatively modest price changes. Clothing and footwear prices edged up by only 0.1%, whereas communication and tobacco costs stayed stable compared to the previous year. Conversely, housing, water, electricity, gas, and other fuels dropped by 0.6%. The August figures also reveal notable variation across Oman’s governorates. The official consumer price data shows inflation rates ranging from 2.1% in Dhofar to 4.8% in Al Dhahirah.
Transport and food sectors lead August’s inflation increase
Al Dhahirah experienced the highest annual inflation rate among Oman’s governorates at 4.8%. Muscat recorded a 3.9% increase, with Al Dakhiliyah close behind at 3.8%. Al Wusta’s rate was 3.4%, while both Musandam and Al Buraimi posted 3.3%. South Al Sharqiyah registered a 3.1% inflation rate. Meanwhile, South Al Batinah’s inflation stood at 2.7%, North Al Batinah at 2.5%, and North Al Sharqiyah at 2.2%. Dhofar had the lowest rate at 2.1%.
The food sector exhibited some of the most pronounced annual increases in August. Vegetables surged by 19%, while fruit prices went up by 16.3%. Meat costs increased by 9.8%, with non-alcoholic beverages rising 3.5%. Other food items saw a 3.1% increase, and milk, cheese, and eggs climbed 3%. Sugar, jam, honey, and sweets experienced a 2.3% rise, and bread and cereals increased by 0.8%, illustrating the diverse shifts within the food category.
Steepest price hikes recorded in fresh produce
Prices for oils and fats grew by 0.1% from August 2025, while fish prices fell by 0.1%. The overall food and non-alcoholic beverages group still rose by 7% over the year, ranking second after transport among key consumer sectors. The data from the National Centre for Statistics and Information highlights that vegetables, fruits, and meat contributed the most to the overall increase within food. Other grocery categories experienced smaller rises, with fish being the only segment to decline.
The August inflation figures reflect a steady upward trend in Oman’s headline rate over recent months. Yearly inflation climbed from 2.8% in June to 3.2% in July and reached 3.4% in August. In July, food and non-alcoholic beverages saw a 7.3% increase, while transport prices rose by 6.5%. By August, transport inflation had increased further to 8.5%, with food inflation slightly easing to 7%. The average inflation rate for the first eight months of 2026 remained at 2.9%.