Namibia’s annual inflation rate accelerated to 5.0% in August 2026, its highest level since February 2024, driven largely by a sharp increase in transport costs as petrol and diesel prices rose 25.1%.
According to the Namibia Statistics Agency’s (NSA) monthly Consumer Price Index (CPI), inflation increased from 3.2% in August 2025, while the monthly rate accelerated to 0.6% from 0.1% in July 2026.
Transport, which accounts for 14.3% of the consumer basket, was the largest contributor to headline inflation, adding 2.0 percentage points after prices in the category increased 13.2% year on year.
This marked a sharp reversal from the 1.0% deflation recorded for transport in August 2025.
“The Transport category, which carries a weight of 14.3 percent in the consumer basket, recorded an annual inflation rate of 13.2 percent in August 2026, compared to a deflation of 1.0 percent in August 2025,” the NSA said.
The acceleration was mainly driven by the operation of personal transport equipment, where inflation jumped to 17.1% from a 2.8% decline a year earlier.
Petrol and diesel prices increased by 25.1%, while public transportation services recorded inflation of 14.9%, compared with 1.0% in August 2025.
On a monthly basis, transport prices increased 3.7% in August, reversing the 3.1% decline recorded in July.
Core inflation, which excludes some volatile price components, stood at 3.8%.
The average inflation rate for the 12 months from September 2025 to August 2026 was 3.5%, while average inflation for the fiscal year period from April to August stood at 4.2%.
Goods inflation accelerated to 5.2% from 3.0% a year earlier, while services inflation increased to 4.7% from 3.6%.
Housing, water, electricity, gas and other fuels was the second-largest contributor to headline inflation, adding 1.0 percentage point after prices increased 4.3%, compared with 3.4% in August 2025.
The NSA attributed the increase partly to electricity, gas and other fuel prices, where inflation accelerated to 4.1% from 1.6%, while regular maintenance and repair of dwellings increased to 4.0% from 2.0%.
Rental payments for dwellings increased 4.3%, compared with 3.7% a year earlier.
Food and non-alcoholic beverages contributed 0.8 percentage points to headline inflation, although inflation in the category slowed to 4.0% from 5.2% in August 2025.
Fruit prices increased 13.8% and vegetables rose 7.9%, while meat and fish inflation moderated to 3.8% and 3.7%, respectively.
Alcoholic beverages and tobacco contributed 0.4 percentage points, with inflation slowing to 2.6% from 5.5% a year earlier.
Communication was the only major consumer category to record deflation, with prices declining 1.1%.
Inflation also varied across the country, with Zone 2, covering Khomas and Windhoek, recording the highest annual rate at 5.9%.
Zone 3, covering //Kharas, Erongo, Hardap and Omaheke, recorded inflation of 5.2%, while Zone 1, comprising Kavango East and West, Kunene, Ohangwena, Omusati, Oshana, Oshikoto, Otjozondjupa and Zambezi, recorded the lowest rate at 4.0%.
Transport was the main driver of inflation increases across all three zones.
