Iran Reports 1% Increase in Annual Inflation Rate in August

Iran's headline inflation rate saw a slight rise in the calendar month ending late August, according to official data. The Statistical Center of Iran (SCI) announced on Wednesday that the country’s annual inflation rate increased by 1% for the period ending August 22.

Iran (IMNA) - The consumer price index (CPI) reached 370.5 in the year leading up to August 22, marking a 36.3% rise compared to the same period last year. On a month-on-month basis, consumer prices in Iran grew by 2.9% during August.

The data revealed that prices of food, beverages, and smoking products surged by 3.9% over August, while inflation for non-food products and services rose by 2.3% in the same timeframe.

Measured on a point-to-point basis—which compares the same month in consecutive years—the CPI inflation rate was 42.4% in the calendar month to late August, reflecting a 1.2% increase from July.

Iran has sustained its headline inflation below 40% for several months, indicating recovery from an economic crisis triggered by the COVID-19 pandemic in 2020 and compounded by US sanctions on its oil exports. The inflation rate peaked at 49.1% in May 2023, near a record high from about thirty years ago.

Nevertheless, consumer prices have continued to rise since the start of the current calendar year in late March, and further instability followed a brief conflict with Israel in June. This suggests that inflation rates in Iran may continue to increase in the upcoming months.

News ID 899420

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