Palestine Consumer Prices Fall Most in 5 Months

Consumer prices in Palestine plunged by 36.96% year-on-year in May 2026, extending the decline from a 21.78% fall in the previous month. It marked the sharpest consumer deflation since December 2025, as prices fell across most key items, namely dried vegetables (-15.8%), fresh vegetables (-11.91%), flour of cereals (-10.29%), fresh fruits (-8.32%), other sugar and sugar substitutes (-6.96%), potatoes and other tubers (-5.94%), liquid fuel for cars, diesel (-3.58%), vegetable oils (-3.57%), and rice (-1.81%). Among major groups, deflation was recorded in food and non-alcoholic beverages (-44.63%), housing and utilities (-50.95%), and transport (-9.89%). Across the territories, the Gaza Strip recorded a steep 59.96% decline, while prices rose by 2.69% in the West Bank and 3.21% in Jerusalem. On a monthly basis, consumer prices fell 0.4%, reversing a 5.27% increase in April.

Consumer prices in Palestine dropped by 21.78% year-on-year in April 2026, reversing a 3.02% increase in the previous month and marking the sharpest decline since late December. Across the territories, the Gaza Strip recorded a steep 42.84% drop, while prices rose by 3.64% in the West Bank and 3.45% in Jerusalem. On a monthly basis, the consumer price index declined by 0.75% in April, driven by a 4.41% fall in Gaza, partly offset by increases of 2.08% in the West Bank and 0.73% in Jerusalem. The decline was led by lower prices for dried vegetables (-20.69%), potatoes and other tubers (-20.60%), fresh vegetables (-16.47%), fresh chicken (-6.22%), gas (-4.35%), other sugar and sugar substitutes (-3.28%), fresh meat (-3.19%), and bread (-2.11%).

Consumer prices in Palestine rose by 3.02% year-on-year in March 2026, easing sharply from an 11.61% increase in the previous month but marking the second consecutive month of growth. The rise was driven by a 5.01% increase in the Gaza Strip, followed by gains of 2.94% in Jerusalem and 1.40% in the West Bank. Among key items, costs grew for dried vegetables (+157.26%), potatoes and other tubers (+104.24%), gas (+47.53%), fresh vegetables (+45.48%), flour of cereals (+43.72%), fresh fruits (+21.26%), fresh chicken (+16.23%), vegetable oils (+14.33%), eggs (+11.31%), other sugar and sugar substitutes (+10.49%), diesel (+5.57), fresh meat (+5.42%), petrol (+5.16%), rice (+3.97%), and bread (+4.82%). On a monthly basis, the consumer price index increased by 5.27% in March, largely due to a 12.42% spike in Gaza, alongside smaller increases of 0.75% in the West Bank and 0.62% in Jerusalem.