In August 2025, Bahrain experienced a 0.8% year-on-year decline in consumer prices, following a 0.9% decrease in July. This trend represents the fifth consecutive month of deflation, largely influenced by a less pronounced fall in the prices of food and non-alcoholic beverages, which saw a decrease of 3.7% compared to a 6.2% reduction in July. Additional downward pressure was observed in housing and utilities, dropping by 1.6% compared to a 2% decrease previously, and in clothing and footwear, which fell by 5.3% following a 5% decline. Conversely, transport prices remained unchanged after experiencing a 1.8% rise in July. On a month-to-month basis, consumer prices increased by 0.2%, recovering from a 0.4% decline in the preceding month.