MUSCAT, OMAN / RankWire.AI / – Oman experienced an inflation rate of 3.4% in August 2026, with notable increases in prices across sectors such as transportation, food, and various services. This figure marked an upward shift from July’s 3.2%, signifying continued growth in consumer prices month-on-month. For the first eight months of 2026, the average inflation rate stood at 2.9%. The National Centre for Statistics and Information disclosed these statistics in its consumer price index report for August.
Transport registered the most substantial annual increase among the main consumer categories, climbing 8.5% compared to August 2025. Prices for food and non-alcoholic beverages rose 7%, while miscellaneous personal goods and services saw a 6.1% increase. The hospitality sector, including restaurants and hotels, experienced a 3.6% rise. Meanwhile, furniture, household equipment, and routine maintenance expenses grew by 3.1%. Educational costs increased 2.2%, healthcare costs went up 1.7%, and culture and recreation prices edged higher by 0.4% over the same period.
Clothing and footwear saw minimal change, increasing by 0.1%, whereas communication and tobacco costs remained steady. The only main category to decline was housing, water, electricity, gas, and other fuels, which fell 0.6%. The August data reveal varied price movements within the consumer basket, with transportation and food witnessing the largest gains. Inflation rates also differed across Oman’s governorates, ranging from 2.1% to 4.8% annually.
Transport and Food Lead the Yearly Price Hikes
In August, Al Dhahirah recorded the highest inflation rate among governorates at 4.8%. Muscat followed at 3.9%, with Al Dakhiliyah at 3.8% and Al Wusta at 3.4%. Both Musandam and Al Buraimi each saw a 3.3% increase, while South Al Sharqiyah’s rate was 3.1%. South Al Batinah reached 2.7%, North Al Batinah 2.5%, and North Al Sharqiyah 2.2%. These figures reflect the annual change in consumer prices within each region.
Dhofar registered the lowest inflation rate at 2.1%. Within the food and non-alcoholic beverages sector, vegetables experienced the largest increase, rising 19% from August 2025. Fruit prices went up 16.3%, with meat increasing 9.8%, and non-alcoholic beverages rising 3.5%. Other food items saw a 3.1% increase, and prices for milk, cheese, and eggs advanced 3%. Fresh produce notably contributed to the sharpest food price hikes.
Vegetables and Fruits Drive the Most Significant Food Price Gains
Sugar, jam, honey, and sweets rose 2.3%, while bread and cereals increased 0.8%. Oils and fats moved up by 0.1%, and fish prices declined by 0.1% compared to the previous year. The detailed food breakdown highlights that vegetables, fruit, and meat saw much larger percentage increases than other grocery categories. These shifts contributed to the overall 7% annual rise in the broader food and non-alcoholic beverages segment as measured by the August consumer price index.
The August inflation figure continues the upward trend from July’s 3.2%. During that month, food and non-alcoholic beverages increased by 7.3%, while transport prices grew by 6.5% year-over-year. By August, transportation inflation had accelerated to 8.5%, with food inflation easing slightly to 7%. The NCSI data also indicates that the average inflation rate from January to August was 2.9%, providing a comprehensive view of consumer price changes during 2026.