In March 2025, Armenia's annual inflation rate increased to 3.3%, up from 2.5% the month prior, marking the highest level since April 2023. This rise was driven by significant price hikes across several sectors: food and non-alcoholic beverages surged to 5.4% from 4.5% in February, housing and utilities increased to 1.4% from 0.3%, transport rose to 3.7% from 2.6%, while alcoholic beverages and tobacco climbed to 5.1% from 3.4%. Recreation and culture also saw an increase to 1.4% from 0.9%. Conversely, inflation eased for communication, declining to 0.2% from 0.4%, and for restaurants and hotels, dropping to 1.1% from 1.3%. On a monthly basis, consumer prices rose by 0.5% in March 2025, compared to a 0.1% increase in the preceding month.