Kuwait Inflation Rate at 4-Month High

The annual inflation rate in Kuwait rose to 2.39% in July 2025 from 2.32% in June, marking the highest reading since March. Prices increased faster for food and beverages (5.63% vs 5.11% in June) and miscellaneous goods and services (4.86% vs 4.80%). At the same time, transportation costs dropped at a softer pace (-1.75% vs -1.81%), while inflation was steady for housing (0.98%), cigarettes and tobacco (0.07%), and restaurants and hotels (1.94%). On the other hand, inflation moderated for clothing and footwear (3.70% vs 3.93%), home furnishings and maintenance equipment (3.22% vs 3.30%), health (2.85% vs 2.94%), communication (0.48% vs 0.64%), and recreation and culture (1.76% vs 1.92%). On a monthly basis, consumer prices increased 0.22% in July, easing slightly from 0.29% in the previous month.

The annual inflation rate in Kuwait accelerated to 2.32% in June, up from 2.25% in May, which had marked the lowest level since September 2020. June’s reading was the highest since March, mainly driven by faster increases in the prices of food and beverages (5.11% vs 4.72% in May), marking the largest rise in four months. Prices also rose more rapidly for housing services (0.98% vs 0.74%) and restaurants and hotels (1.94% vs 1.50%). Inflation remained steady for both communication (at 0.64%) and recreation and culture (at 1.92%). Meanwhile, inflation eased in several categories: health (2.94% vs 3.79%), education (0.71% vs 0.87%), clothing and footwear (3.93% vs 4.09%), home furnishings and maintenance equipment (3.30% vs 3.38%), and miscellaneous goods and services (4.80% vs 4.90%). In contrast, transport costs declined at a faster pace (-1.81% vs -1.05%). On a monthly basis, consumer prices rose 0.29% in June, accelerating from a 0.15% gain in the previous two months.

The annual inflation rate in Kuwait stood at 2.25% in May 2025, unchanged from the previous month and remaining at its lowest level since September 2020. Prices increased slightly for food and beverage (4.72% vs 4.61% in April), while inflation was steady for housing services (0.74%), health (3.79%), communication (0.64%), recreation and culture (1.92%), education (0.87%), restaurants and hotels (1.50%), and miscellaneous goods and services (4.90%). On the other hand, costs rose at a slower pace for clothing & footwear (4.09% vs 4.10%) and home furnishings and maintenance equipment (3.38% vs 3.46%). Additionally, transport costs declined at the same pace as in the previous month (at -1.05%). On a monthly basis, consumer prices rose by 0.15% in May, matching the previous period.