Jordan Inflation Eases Slightly, Remains Near 3-Year High

The annual inflation rate in Jordan slowed slightly to 2.79% in June 2026, down from 2.83% in May. However, the latest reading remained close to the highest level since April 2023, recorded in May, driven primarily by higher fuel prices. The country raised fuel prices by 11% in April, the first increase since the Middle East conflict began, and partially adjusted fuel prices in May. Transportation costs remained the main contributor to inflation, accounting for 1.27 percentage points, as prices climbed 7.93%, accelerating slightly from a 7.69% rise in May, reflecting the impact of rising fuel prices. Rents followed, contributing 0.76 percentage points, with housing prices rising 3.96%, up from 3.33% in May. Meanwhile, inflation moderated for food and non-alcoholic beverages (0.37% vs 1.15%) and communication (0.28% vs 2.39%). Additionally, clothing prices fell at a faster rate (-0.48% vs -0.25%). On a monthly basis, the CPI rose 0.14% in June, easing from a 0.55% increase in May.

The inflation rate in Jordan accelerated to 2.83% yoy in May 2026, the highest since April 2023, from 2.49% in April, driven primarily by higher fuel prices. The country raised fuel prices by 11% in April, the first increase since the Middle East conflict began, and partially adjusted fuel prices in May. Transportation costs were the main contributors to May inflation, accounting for 1.23 percentage points, as prices rose 7.69%, accelerating sharply from a 3.32% gain in April. Housing prices also increased at a faster pace (3.33% vs 2.97%). Meanwhile, inflation moderated for health (0.35% vs 0.60%), communication (2.39% vs 2.40%), recreation and culture (0.68% vs 1.55%), and food and non-alcoholic beverages (1.15% vs 2.45%), while alcoholic beverages and tobacco remained steady at 3.98%, and household furnishings and equipment were nearly unchanged at 0.01%. By contrast, prices fell for clothing (-0.25% vs 0.50%) and restaurants (-0.08% vs 1.31%). Monthly, the CPI rose 0.55% in May.

The inflation rate in Jordan accelerated to 2.49% year-on-year in April 2026 from 1.87% in March, marking the highest level since April 2023 and driven primarily by higher fuel prices. The country raised fuel prices by 11% in April, the first increase since the Middle East conflict began, pushing transportation costs up 3.32% after a 0.91% fall in March. Other categories also rose at a faster pace, including housing (2.97% vs 2.67% in March), health (0.60% vs 0.52%), restaurants and hotels (1.31% vs 0.44%), communication (2.40% vs 2.38%), and recreation and culture (1.55% vs 1.48%). Clothing and footwear climbed 0.50% after being flat in March, while alcoholic beverages and tobacco remained steady at 3.98%. By contrast, inflation eased in food and non-alcoholic beverages (2.45% vs 3.05%) and education (2.70% vs 2.77%), while household furnishings and equipment were unchanged after rising 0.16% in March. Monthly, CPI rose 0.70% in April, easing slightly from a 0.76% increase in March.