Israel Inflation Hits 3-Month High

Israel’s annual inflation rate rose to 3.6% in April 2025 from 3.3% in the previous month, exceeding market expectations of 3.2%.

Prices rose at a faster pace in transport and communication (2.3% vs 1.1% in March) and vegetables and fruit (3.9% vs 2.4%).

This was partially offset by slower inflation in food prices excluding vegetables and fruit (4.7% vs 4.8%) and deeper deflation in clothing and footwear (-2.6% vs -2.2%).

On a monthly basis, consumer prices climbed 1.1% in April, the highest monthly increase since July 2022.

This also significantly exceeded market forecasts of a 0.6% rise and accelerated from a 0.5% gain in March.