Home Business Inflation slightly edges up to 2.9%
Business

Inflation slightly edges up to 2.9%

Share
Annual inflation rates from October 2019 to October 2025.
Share

MBABANE – Eswatini’s inflation rose slightly to 2.9 per cent in October 2025, driven mainly by housing, utilities and alcohol price increases amid continued drops in restaurant and hotel costs.

Inflation ticked upward in October 2025, signalling a mild but notable shift in consumer price dynamics as the country continues to navigate a period of broad cost stabilisation.

According to the Central Statistical Office’s (CSO) Consumer Price Index (CPI) report released on Friday, annual inflation climbed to 2.9 per cent, up from 2.8 per cent recorded in September. 

Although the increase is marginal, the figure reflects changing pressures across different consumption categories, with some sectors experiencing strong price growth while others continue to decline.

The October reading, however, remains significantly lower than the 3.3 per cent inflation rate recorded in October 2024, affirming that Eswatini is still within a low-inflation environment.

The latest data also shows a divergence between goods and services, with prices of goods rising by 3.3 per cent and services increasing by 2.3 per cent year-on-year.

 Three categories were chiefly responsible for the upward push in headline inflation:

  • Housing, water, electricity, gas and other fuels, contributing 1.2 percentage points.
  • Alcoholic beverages, tobacco and narcotics, adding 0.7 percentage points.
  • Clothing and footwear, contributing 0.3 percentage points.

These combined contributions largely outweighed the declines recorded in other sectors, particularly restaurants and hotels, which continued to report steep price reductions.

The report highlights that the month-on-month inflation rate for October stood at 0.4 per cent, a notable rise from 0.0 per cent in September. This month-to-month increase was propelled mainly by higher prices in alcohol, clothing and recreational goods.

*…

… food prices increase modestly by 0.4 %

MBABANE – Food prices increased modestly by 0.4 per cent year-on-year, reflecting ongoing stability in essential food items.

Prices for meat and dairy saw moderate growth of 2.2 per cent and 4.4 per cent, respectively.

Fruit prices rose strongly by 6.1 per cent, driven partly by seasonal patterns and supply fluctuations. However, this did not significantly impact the overall food category due to its relatively smaller weighting.

Non-alcoholic beverages recorded a robust 5.1 per cent annual increase, attributed to higher costs for soft drinks, bottled water and related products.

Transport inflation remains subdued at 0.9 per cent, supported by stable fuel costs during the month. Fuel and lubricants for personal transport rose by 4.0 per cent year-on-year, but with the overall category weighted by road and air transport charges – many of which remained unchanged – the impact on the headline rate was limited.

Passenger road transport, which forms the biggest component, recorded no monthly change, helping to maintain stability.

Air transport costs increased by 4.0 per cent year-on-year but declined sharply by 9.5 per cent month-on-month, reflecting volatile pricing patterns in the aviation sector.

*Full article available in our publication

Share
Written by
Nhlanganiso Mkhonta

Nhlanganiso Mkhonta serves as Business Editor at the Times of Eswatini. He reports on business, economics, finance, investment, entrepreneurship and public policy, producing insightful coverage and analysis of the issues driving Eswatini’s economy and the wider African business environment.

Leave a comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Don't Miss

FNB probe uncovers E20m fraud syndicate

BY MBONGISENI NDZIMANDZE AND KWANELE DLAMINI MBABANE – Investigations into the alleged fraud committed at FNB Eswatini have uncovered a syndicate involving businessmen,...

Home Affairs official fired in insurance scam as…

... man declared dead while alive MBABANE – A living man was declared dead after a Home Affairs official issued a death certificate...

Butsegetsege set to light up Eswatini for Kagogo Weekend

MBABANE — Excitement has reached a fever pitch across the kingdom as viral cultural sensation Mavusane Cyzweh, widely known as Butsegetsege, officially confirms...

Royal Swazi Reopening in sight

MBABANE- What has seemed like an eternity, the Royal Swazi Hotel could finally be opening its doors before the end of the year....

Eswatini’s fastest lady honoured at TUT sports awards

MBABANE – Eswatini's fastest lady Bongiwe 'Smolly' Mahlalela has been crowned Sportswoman of the Year at the prestigious Tshwane University of Technology Sports...

Related Articles

Zox’s Sakha Live FM appoints Wilson B. Nkosi as Board Chairman

MBABANE - Sakha Live FM, Eswatini’s newest licensed Free-to-Air commercial radio station,...

Economy strengthens in first half of 2026

MBABANE - Eswatini’s economy strengthened during the first half of 2026, with...

Standard Bank brings back Instant Money

MBABANE - Standard Bank Eswatini is bringing back its Instant Money service,...

Eswatini economy expands 6.5% in Q2

MBABANE – Eswatini’s real gross domestic product (GDP) grew by 6.5 per...