Namibians paid more to travel, keep the lights on, and cover everyday household expenses in September as annual inflation climbed to 5.4% from 5.0% in August, driven by higher fuel prices and transport costs.
The latest Namibia Statistics Agency (NSA) Consumer Price Index shows transport remained the biggest contributor to inflation, reflecting the impact of continued fuel price increases over recent months. Higher transport costs, along with rising housing and food prices, continued to squeeze household budgets across the country.
The increase in transport inflation comes after another fuel price adjustment in September, when petrol rose by 60 cents per litre, and diesel increased by N$1.60 per litre. The Ministry of Industries, Mines and Energy attributed the adjustment to higher international fuel costs, including pressure from global oil markets and increased import costs.
For many families, the increase means spending more on taxi fares, fuel, rent and electricity, leaving less money for other household needs. Businesses are also paying more to transport goods, and those higher costs often end up on shop shelves.
The NSA said transport contributed 2.2 percentage points to the overall annual inflation rate of 5.4%. Housing, water, electricity, gas and other fuels contributed 1.0 percentage point, while food and non-alcoholic beverages added 0.8 percentage points. The remaining consumer spending categories contributed 0.8 percentage points in total.
“The annual inflation rate of 5.4% recorded in September 2026 was primarily driven by increases in Transport, which contributed 2.2 percentage points to the overall inflation rate. This was followed by Housing, Water, Electricity, Gas, and Other Fuels, contributing 1.0 percentage point, and Food and Non-Alcoholic Beverages, which added 0.8 percentage points,” the NSA said.
Transport recorded the highest annual inflation rate of all consumer spending categories at 14.9%. Hotels, cafés and restaurants followed at 6.3%, health at 5.3%, recreation and culture at 4.5%, while housing, water, electricity, gas and other fuels recorded 4.2%. Food and non-alcoholic beverages and furnishings and household equipment each recorded annual inflation of 4.0%.
The biggest pressure came from operating private vehicles.
Personal transport equipment recorded annual inflation of 20.1%, up from 0.3% in September last year. Petrol and diesel prices increased by 30.4%, while vehicle licence and registration fees rose by 8.7%.
Public transport also became significantly more expensive. Air transport prices rose by 22.1%, taxi fares increased by 15.4%, rail transport by 15.7%, and bus fares by 12.6% compared to September last year.
For workers who rely on taxis every day, those increases mean commuting now takes up a bigger share of their salaries. Farmers, retailers and manufacturers also face higher transport costs when moving goods around the country, increasing pressure on the prices consumers pay.
Housing costs remained another major source of inflation.
The housing, water, electricity, gas and other fuels category, which accounts for 28.4% of the consumer basket, recorded annual inflation of 4.2%, up from 3.6% a year earlier. Higher rental costs, home maintenance expenses, and increases in electricity, gas, and other fuels drove the rise.
Food prices continued to rise, although some staple products rose more slowly than a year ago.
Meat inflation slowed to 3.3%, compared to 8.1% in September 2025, as price increases for beef, lamb, pork, sausages and minced meat eased. Oils and fats rose 3.2% year on year, down from 6.0% last year, while coffee, tea and cocoa slowed to 3.5%, down from 5.9% a year earlier.
Communication was the only major category to record lower prices, with annual deflation of 0.9%, meaning some communication goods and services were cheaper than they were a year ago.
The report also stressed differences across the country’s three inflation zones.
Khomas (Zone 2) recorded the highest annual inflation rate at 6.2%, driven mainly by transport, health services and household equipment. Zone 3, which includes //Kharas, Erongo, Hardap and Omaheke, recorded annual inflation of 5.8%, mainly because of higher transport and housing costs. Zone 1, covering the northern regions, recorded the lowest annual inflation rate at 4.3%, although residents there also faced higher transport and restaurant prices.
-pmukokobi@nepc.com.na
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