Kuwait's consumer price index (CPI), a primary indicator of inflation, rose by 2.5% in December 2024 compared to the same period in the previous year, according to the Central Administration of Statistics. On a monthly basis, inflation increased by 0.45%, reflecting the economic shifts during the period.

Food and Beverages Sector

The food and beverages group registered a 5% price surge, making it the largest contributor to overall inflation. Rising costs of essential goods in this category underscore the increasing strain on household budgets.

Clothing and Footwear

Prices in the clothing sector rose by 5.13%, driven by higher production and retail costs.

Healthcare

The health sector saw a 4% increase in prices, adding to the upward inflationary trend.

Education Services

Education costs experienced a moderate rise of 0.71%, reflecting increased fees for educational services.

Home Furnishings

The home furnishings group recorded a 3.51% rise, marking steady growth in household expenses.

Housing Services

Housing services prices increased by 0.9%, reflecting stable growth in the sector.

Entertainment and Culture

This group witnessed a 2.64% price rise, contributing moderately to overall inflation.

Restaurants and Hotels

Prices in the restaurants and hotels sector rose by 2.03%, indicating higher costs in dining and hospitality services.

Various Goods and Services

The various goods and services category surged by 5.43%, highlighting broader price pressures.

In contrast to other sectors, transportation costs declined by 1.47% year-on-year, offsetting some of the inflationary pressure. Despite rising fuel prices, the drop reflects a temporary reprieve in travel-related expenses.

When excluding the food and beverages sector, Kuwait's inflation rate stood at 2.02% in December 2024. This figure highlights the substantial impact of other sectors on overall inflation.

Kuwait's inflationary trends in December 2024 reveal a complex economic landscape shaped by rising costs in essential sectors like food, clothing, and healthcare, while the transportation sector provided a slight respite. Monitoring these trends remains crucial for assessing the country's economic health.