Photo by Khyle Joseph, ATC (TAPA, ANU)
The Consumer Price Index (CPI) rose 3.1% in April 2026 compared to the same period in 2025, driven largely by sharp increases in transport costs and recreation and culture spending, according to data released by the National Bureau of Statistics on May 29.
The Transport index recorded the largest year-on-year increase among all major expenditure categories, rising 18.8% over the 12-month period.
The National Bureau of Statistics attributed the surge primarily to a 60.3% increase in the Transport Services index, linked to rising costs of regional and international airfares.
Recreation and Culture followed with a 30.2% year-on-year increase, while Education rose 13.3% and Restaurants and Hotels climbed 4.5% over the same period.
The All-Items Less Food and Energy index, which strips out volatile food and fuel prices to reflect broader consumer cost pressures, increased 4.0% year-on-year.
Food inflation remained subdued by comparison. The Food and Non-Alcoholic Beverages index rose 1.2% year-on-year, while the Food index alone increased just 0.3% over the 12 months ending April 2026. The National Bureau of Statistics noted mixed performance across food subcategories, with five declining, three increasing, and the index for Sugars, Jams, Honey, Chocolate and Confectionery unchanged.
Fish and Seafood posted the largest year-on-year food increase at 11.0%, followed by Vegetables at 8.0%.
Declines were recorded in Fruit (-12.9%), Milk, Cheese and Eggs (-6.5%), and Meat and Meat Products (-5.2%).
On a month-to-month basis, the overall CPI rose 1.0% in April compared to March 2026.
The Food and Non-Alcoholic Beverages index rose 2.4% over the same period, reversing a negative rate of -1.5% recorded in March.
The Vegetables index drove much of that monthly food increase, rising 7.5% in April with the index for Fresh and Chilled Vegetables recorded a 13.3% monthly increase, its largest single-month gain since November 2024.
The Fruit index also rose 4.7% month-to-month, while Fish and Seafood climbed 3.9%.
Non-Alcoholic Beverages rose 2.6% over the month, with Fruit and Vegetable Juices up 8.2% and Soft Drinks up 2.9%.
Transport continued its upward trend on a monthly basis, rising 4.0% between March and April, driven by an 11.7% increase in the Transport Services index resulting from a 14.0% rise in average airline fares.
Recreation and Culture rose 14.5% month-to-month, while Health increased 2.4%.
Among the categories recording monthly declines, Clothing and Footwear fell 5.2% and Housing, Water, Electricity, Gas and Other Fuels dropped 2.5%.
Of the 12 main expenditure categories tracked, seven recorded price increases in April 2026 compared to April 2025, while five declined. At the sub-group level, 12 of 23 categories recorded increases over the same period.
I hade never understood the consumer price Index. I wish media outlets would make the wordings more layman friendly