Jordan Inflation Rate Hits 3-Month High

Jordan's annual inflation rate accelerated for the first time in four months to 2.73% in September 2026, up slightly from a four-month low of 2.66% in August. It was the highest inflation rate since June, with transportation prices making the largest contribution to inflation, at 1.13 percentage points. Jordan will raise fuel prices in October after freezing them in September despite soaring global crude prices. However, price declines in several food categories helped offset inflationary pressures during September. For the first nine months of the year, the inflation rate averaged 2.26%, with rent being the largest contributor to inflation, adding 0.72 percentage points to the overall rate. On a monthly basis, the CPI rose 0.16% in September, marking the first monthly increase in three months, after falling 0.25% in August.

The annual inflation rate in Jordan eased for the third consecutive month to 2.66% in August 2026, down slightly from 2.70% in July. It was the lowest inflation rate since April, as the impact of the fuel price hike continued to fade. The country raised fuel prices by 11% in April, the 1st increase since the Middle East conflict began, and partially adjusted fuel prices in May. Inflation for food and non-alcoholic beverages, which had the largest weight in total inflation, eased to 0.23% from 0.70%, marking the softest rise since February. Rents, the second-largest contributor to inflation, accounting for 0.76 percentage points, also slowed, with housing prices rising 3.81%, down from 3.86% in July. Transportation costs remained the largest contributor to inflation, accounting for 1.12 percentage points, with prices rising 7.02%, accelerating from a 6.77% increase in July. Monthly, the CPI dropped 0.25% in August, marking the 2nd straight monthly decline, after falling 0.18% in July.

The annual inflation rate in Jordan eased for the second consecutive month to 2.70% in July 2026, down from 2.79% in June, as the impact of the fuel price hike continued to fade. However, the latest reading remained close to the highest level since April 2023, recorded in May at 2.83%, 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 largest contributor to inflation, accounting for 1.08 percentage points. They rose 6.77%, easing from a 7.93% increase in June, as the impact of rising fuel prices started to fade. Rents followed, contributing 0.76 percentage points, with housing prices rising 3.86%, down from 3.96% in June. Meanwhile, inflation for food and non-alcoholic beverages accelerated to 0.70% from 0.37%. Monthly, the CPI fell 0.18% in July, marking the first monthly decline since November 2025.