Bahrain’s annual inflation rate stood at 3.0% in August 2026, unchanged from the previous month and remaining at its highest level since December 2022. Prices of food and non-alcoholic beverages rose faster (8.1% vs 7.1% in July), as did recreation and culture (10.1% vs 8.6%) and miscellaneous goods and services (3.2% vs 2.4%). Additionally, deflation eased for alcoholic beverages and tobacco (-0.7% vs -1.9%), housing and utilities (-1.1% vs -1.3%), furnishings, household equipment, and routine household maintenance (-1.4% vs -1.5%), and communication (-0.2% vs -0.5%). On the other hand, inflation moderated in transport (7.8% vs 9.1%) and restaurants and hotels (1.1% vs 1.5%), while prices declined further for clothing and footwear (-9.4% vs -8.9%). Prices remained unchanged for education at 2.8% and health at -0.1%. On a monthly basis, consumer prices edged down to 0.2% in August from 0.3% in July.