Mbabane – Eswatini’s annual inflation rate slowed to 2.5 percent in July 2026, down from 2.6 percent in June and 2.8 percent recorded in July 2025.
The figures are contained in the Consumer Price Index report released by the Central Statistical Office on August 14, 2026.
Goods recorded inflation of 2.9 percent, while services rose by 1.8 percent. On a monthly basis, consumer prices declined by 0.1 percent in July, compared with a 0.1 percent increase in June. 
Housing, water, electricity, gas and other fuels made the biggest contribution to the annual inflation rate at 1.7 percent, followed by transport at 0.5 percent and clothing and footwear at 0.3 percent.
Housing and utilities recorded an annual increase of 5.9 percent. Electricity prices rose by 15.1 percent, while liquid fuels increased by 31.3 percent compared with July 2025.
Despite the annual increase, liquid fuel prices fell by 9.2 percent between June and July. Water supply costs rose by 4 percent, while actual rentals for housing increased by 3.3 percent.
Transport inflation rose to 3.3 percent annually, reversing the 0.3 percent contraction recorded in July 2025.
Fuels and lubricants for personal transport increased by 19.4 percent over the year but fell by 5.6 percent month on month. Passenger air transport recorded an annual increase of 19 percent and a monthly increase of 6.2 percent.
The overall transport category declined by 0.8 percent between June and July, mainly due to lower prices for fuels and lubricants.
Clothing and footwear recorded an annual increase of 5.3 percent. Footwear prices rose by 7.9 percent, while garments increased by 4.2 percent.
Inflation for alcoholic beverages, tobacco and narcotics fell sharply from 10.3 percent in July 2025 to 2.6 percent in July 2026.
The decline was linked to a 3.7 percent fall in wine prices and slower growth in beer prices, which rose by 0.8 percent. Spirits increased by 22.2 percent, while tobacco prices rose by 5.3 percent.
Food and non alcoholic beverages recorded a negative annual rate of 0.8 percent.
Figure 1. Annual inflation rates
Annual inflation rates series from July 2020 to July 2026
Bread and cereals fell by 3.2 percent, meat declined by 0.3 percent and vegetables fell by 0.7 percent. Oils and fats increased by 1.1 percent, fruit rose by 5.1 percent and non alcoholic beverages increased by 4.7 percent.
The rise in non alcoholic beverages was driven by increases in coffee, tea and cocoa at 3.8 percent, and mineral water and soft drinks at 5.2 percent.
Prices for furnishings, household equipment and routine household maintenance declined from an annual increase of 3.1 percent in July 2025 to negative 0.6 percent in July 2026.
Household textiles fell by 2.8 percent, non durable household goods declined by 0.8 percent and major household appliances fell by 3 percent. The category dropped by 0.5 percent between June and July, with small tools and miscellaneous accessories recording a monthly decline of 4.9 percent.
Education costs rose by 2.7 percent over the year. Pre primary and primary education recorded the biggest increase at 6.2 percent, followed by secondary education at 3.1 percent. Tertiary education increased by 0.1 percent.
Health costs rose marginally by 0.2 percent. Pharmaceutical products increased by 1.4 percent, while outpatient medical services recorded no change.
Communication costs remained unchanged at zero percent both annually and monthly across postal services, telephone and telefax equipment, and telephone services.
Recreation and culture rose by 2.5 percent, supported by a 6.1 percent increase in pets and related products and an 8.3 percent increase in miscellaneous printed matter.
Restaurants and hotels recorded a negative annual rate of 1.3 percent. The category recovered by 1.1 percent between June and July, following a 5 percent decline in June.
The monthly recovery was mainly driven by accommodation services, which rose by 1.3 percent.
Miscellaneous goods and services increased by 2.8 percent annually. Insurance costs rose by 4 percent, financial services increased by 2.5 percent and hairdressing and personal care services rose by 5 percent.
The administered prices index, covering goods and services whose prices are regulated by government, increased by 7.6 percent annually. This was considerably higher than the overall inflation rate.
Non administered prices rose by 1.1 percent over the same period.
The Central Statistical Office compiles the CPI using the Laspeyres formula, with weights drawn from the 2016/17 Household Income and Expenditure Survey. June 2020 is used as the index reference period.
Prices are collected from retail outlets across all four regions of Eswatini during the first three weeks of each month.
The next CPI report is scheduled for release on September 15, 2026.
