Costa Rica Holds Deflationary Trend

Consumer prices in Costa Rica eased by 0.17% from the previous year in August of 2026, marking the softest deflation rate since the ongoing deflationary trend started in May of 2025 at -0.12%. The slowdown in the decline in prices took place despite a second consecutive monthly drop in the CPI (-0.11% vs -0.47% in July). Prices fell for transportation (-1.06%), contrary to global trends, as other Latin American economies are exposed to soaring fuel prices to a more immediate impact. In turn, prices soared for food and non-alcoholic beverages (1.01%).

Costa Rica's consumer prices fell 0.32% year-on-year in June 2026 after declining 0.97% in May, extending the country's deflationary trend. The largest price declines were recorded in food and non-alcoholic beverages (-3.7%), clothing and footwear (-2.3%), and furniture and household services (-1.6%). Prices also fell for recreation and culture (-0.9%), housing and utilities (-0.8%), information and communication (-0.8%), and insurance and financial services (-0.5%). In contrast, transport prices rose 4.3%, while education and healthcare increased 2.7% and 1.8%, respectively. On a monthly basis, consumer prices increased 0.71% after rising 0.27% in May.

Costa Rica's consumer prices fell 0.97% year-on-year in May 2026, following a 1.64% decline in April, extending the country's deflationary trend. The decrease was mainly driven by lower prices for food (-3.89%), clothing and footwear (-2.69%), housing and utilities (-1.20%), furniture and household services (-2.04%), information and communication (-0.96%), and insurance and financial services (-0.55%). Meanwhile, the largest price increases were recorded in education (2.75%), alcoholic beverages and tobacco (2.21%), and healthcare (1.72%). On a monthly basis, consumer prices rose 0.27% in May, reversing a 0.04% decline in April.