Lebanon’s Inflation Hits High of 229.85% By August 2023

According to the Central Administration of Statistics (CAS), the Consumer Price Index (CPI), representing the evolution of goods and services’ prices consumed by households, revealed that Lebanon’s inflation rate registered another high level of 229.85%. Certainly, inflation has been persistently elevated though it slightly came lower in August compared to July 2023, however it remains driven by overall high prices across various sectors given the fact of the adoption of dollarization for everyday expenditures and the increased customs dollar rate that played a pivotal role in sustaining this upward trend in prices.

In details, the cost of “Housing and utilities”, inclusive of water, electricity, gas and other fuels (grasping 28.4% of the CPI) added a yearly 232.84% by August 2023. Also, “Owner-occupied” rental costs increased by 322.02% year-on-year (YOY) and the prices of “water, electricity, gas, and other fuels” followed a significant increase by 155.42% YOY.

Looking at the prices of “Food and non-alcoholic beverages” (20% of CPI), it surged by 274.24% yearly. In turn, the average prices of “Transportation” (13.1% of the CPI) and “Health” (7.7% of the CPI) recorded hikes of an annual 230.78% and 235.08% respectively by August 2023. Also, “Restaurant and Hotels” (2.8% of CPI) increased yearly by 269.33% by August 2023.

In the same token, costs of “Clothing and Footwear” (5.2% of CPI) surged by 249.30% by August 2023, and the prices of “Communication” (4.5% of the CPI) increased by 135.24%.

Finally, prices of “Furnishings and household equipment” (3.8% of CPI), “Alcoholic beverages and tobacco” (1.4% of CPI), and “Recreation, amusement, and culture” (2.4% of the CPI) increased by 212.56%, 359.36%, and 154.74%, respectively, by August 2023.

Inflation rate by August 2023

Lebanon’s Inflation Hits High of 229.85% By August 2023

Source: CAS, BLOMINVEST

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