FX.co ★ Bahrain Inflation Rate Edges Up in October

In October 2025, Bahrain experienced a slight increase in its annual inflation rate, rising by 0.1%, as opposed to a stagnant rate in September. This marks the second straight month of inflation, breaking the pattern of five months of deflation previously seen. Notably, transportation costs increased by 2.3% after remaining steady in September, and health expenses climbed at a quicker rate of 0.6%, up from 0.2%. Conversely, deflation in clothing and footwear prices eased, moving to -2.9% from -3.8%. Prices for education and the restaurant and hotel sectors remained stable at 2.8% and 2.2%, respectively. However, there were continued declines in the costs of food and non-alcoholic beverages (-1.5% from -0.6%), alcoholic beverages and tobacco (-1.1% from -0.5%), and housing and utilities (-1.6% compared to a previous uptick of 1.4%). Additionally, the inflation rate for miscellaneous goods and services decelerated slightly to 4% from the previous 4.2%. On a month-to-month basis, consumer prices held steady in October, following a 0.5% rise in September.