MUSCAT, OMAN / RankWire.AI / – Oman’s yearly inflation rate reached 3.4% in August 2026, driven by higher prices in transport, food, and various service categories. The rate was up from 3.2% in July, signaling another month of rising annual consumer prices. For the first eight months of 2026, the average inflation was 2.9%. The National Centre for Statistics and Information released these figures in its August consumer price index report.
Transport experienced the largest annual increase among the key consumer groups, climbing 8.5% from August 2025. Food and non-alcoholic beverages rose by 7%, while miscellaneous personal goods and services grew 6.1%. Restaurants and hotels saw a 3.6% increase, and furniture, household equipment, and routine maintenance went up 3.1%. Education costs increased 2.2%, health expenses were 1.7% higher, and prices for culture and recreation edged up 0.4%.
Clothing and footwear prices grew by just 0.1% year-over-year. Communications and tobacco costs remained unchanged. Housing, water, electricity, gas, and other fuels decreased by 0.6%, making it the only main group to decline. The August data reveal differing price trends within the consumer basket. Transport and food experienced the largest increases. Inflation also varied across Oman’s governorates, with annual rates between 2.1% and 4.8%.
Transport and Food Costs Drive Yearly Price Growth
Al Dhahirah registered the highest governorate inflation rate in August at 4.8%. Muscat followed with 3.9%, while Al Dakhiliyah posted 3.8%, and Al Wusta 3.4%. Musandam and Al Buraimi each recorded 3.3%, and South Al Sharqiyah reached 3.1%. South Al Batinah was at 2.7%, North Al Batinah at 2.5%, and North Al Sharqiyah at 2.2%. These figures reflect yearly price changes in each region.
Dhofar had the lowest inflation at 2.1%. Within food and non-alcoholic beverages, vegetables saw the biggest rise, increasing 19% from August 2025. Fruit prices went up 16.3%, while meat increased 9.8%, and non-alcoholic beverages 3.5%. Other food items rose by 3.1%, with milk, cheese, and eggs up 3%. Fresh produce contributed heavily to the sharpest food price increases.
Vegetables and Fruit Lead Food Price Hikes
Sugar, jam, honey, and sweets increased by 2.3%, while bread and cereals went up 0.8%. Oils and fats edged higher by 0.1%, and fish prices dropped 0.1% compared to a year earlier. The food category shows much larger increases for vegetables, fruit, and meat than for other grocery items. These changes contributed to the overall 7% annual rise in the food and non-alcoholic beverages group according to the August consumer price index.
The August figures extend the recent trend of rising inflation in Oman. The rate was 3.2% in July. Food and non-alcoholic beverages increased 7.3% in July, while transport costs rose 6.5%. By August, transport inflation had grown to 8.5%, and food inflation slightly decreased to 7%. The NCSI data shows an average inflation of 2.9% from January to August, indicating the broader consumer price growth during 2026.