Cape Verde Inflation Rate Softens in July

The annual inflation rate in Cape Verde eased to 0.4% in July 2026, down from a five-month high of 1.1% in June. Price growth moderated primarily for transportation (2.5% vs 5.4% in June); clothing & footwear (2.9% vs 4.7%) and alcoholic beverages & tobacco (3.6% vs 4.3%). Additionally, prices decreased for housing & utilities (-3.4% vs -3.6%); communications (-0.3% vs -0.3%) and food & non-alcoholic beverages (-0.1% vs 0.9%). Conversely, upward pressure stemmed from furnishings & household equipment (5.9% vs 5.9%); health (3.4% vs 3.3%) and restaurants & hotels (2.6% vs 1.8%). On a monthly basis, the CPI rose by 0.2%, following a 0.5% increase in the prior month.

The annual inflation rate in Cape Verde rose for the second month to 1.1% in June 2026, up from 0.8% in May and reaching the highest level since January. Upward pressure came from several CPI categories, including transportation (5.4% vs 3.4% in May); clothing & footwear (4.7% vs 4.2%); alcoholic beverages & tobacco (4.3% vs 3.9%), furnishings & household equipment (5.9% vs 6.2%) and health (3.3% vs 2.9%). On the other hand, prices decreased for housing & utilities (-3.6% vs -3.8%) and communication (-0.3% vs -0.3%). On a monthly basis, the CPI rose by 0.5% in June, matching the pace seen in May.

The annual inflation rate in Cape Verde rose to 0.8% in May 2026 from 0.3% in the previous month, which marked the lowest reading since March 2024. Upward pressure came mainly from transportation (3.4% vs 0.8% in April), alcoholic beverages and tobacco (3.9% vs 3.8%), and food and non-alcoholic beverages (0.8% vs 0.2%). Additionally, deflation eased in housing and utilities (-3.8% vs -4.2%). Meanwhile, price growth slowed in furnishings and household equipment (6.2% vs 6.7%), clothing and footwear (4.2% vs 4.7%), health (2.9% vs 3.1%), recreation and culture (1.3% vs 1.5%), education (0.2% vs 0.3%), hotels, restaurants and cafés (3.5% vs 3.9%), and miscellaneous goods and services (0.6% vs 1.3%), while communication costs declined (-0.3% vs 0.1%). On a monthly basis, the CPI rose 0.5%, following gains of 0.1% in each of the previous two months.