FX.co ★ East Timor’s Inflation Rate Rises to Yearly Peak

In November, East Timor's annual inflation rate reached 1.2%, an increase from October's 0.9%, and the highest level observed since November 2024. The primary catalyst for this rise was the increased inflation in the food and non-alcoholic beverages sector, which jumped to 2.4% from 1.8% in October. Key contributors included significant price hikes in vegetables (+15.8%), coffee, tea, and cocoa (+1.9%), and oils and fats (+5.7%). In contrast, inflation moderated in the housing sector, which eased to 1.1% from 1.2%, and in the category of furnishings, household equipment, and routine maintenance, which decreased to 0.9% from 1.4%. Prices continued to fall for alcohol and tobacco, albeit at a slower rate (-2.8% compared to -3.1%), as well as for transport (-0.5% compared to -0.7%), and communication remained unchanged at -0.2%. On a monthly scale, consumer prices increased by 0.1%, recovering from a 0.2% decline noted in the prior period. Additionally, the tradable Consumer Price Index (CPI) rose by 1.2% on an annual basis, an uptick from the 0.8% recorded in October, while the non-tradable CPI saw a 1.2% increase, following a previous rise of 1.9%.