
The annual inflation rate in Lebanon dropped to 14.2% in March 2025, marking the lowest level in five years, according to official figures released this week. The decline follows a 15.6% rate recorded in February and reflects a broader easing in price increases across several key sectors.
The most notable slowdowns were seen in housing and services, where inflation cooled to 16.5% from 18.5%, as well as in the transport sector, which saw a sharp drop to 2.5% from 9%. Clothing and footwear also registered a decrease (11% vs. 14.4%), alongside leisure and culture (4.5% vs. 5%) and restaurants and hotels (17.3% vs. 18%).
In a rare deflationary trend, prices for furniture, household equipment and home maintenance fell further, registering a negative growth of -8.4%.
However, food prices remained a major concern. Food inflation rose to 21.4% in March, up from 20.5% in February, highlighting the ongoing strain on Lebanese households already grappling with reduced purchasing power.
On a month-to-month basis, the consumer price index (CPI) saw only a modest increase of 0.4% in March—its smallest monthly rise in six months—down from 0.7% in February.
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