Jordan’s inflation rises 1.56% as key goods and services drive up costs

RIYADH: Jordan’s Consumer Price Index surged 1.56 percent from the beginning of the year through October to reach 110.58 points compared to 108.88 during the same period in 2023.

Higher prices of specific goods and services largely drove this rise. Personal items saw the largest increase, up 11.6 percent, followed by water and sanitation services, which rose by 7.34 percent, according to Petra news agency.

Other significant contributors included union dues, increasing by 5.86 percent, rental costs by 3.86 percent, and tobacco products by 3.53 percent.

For October alone, the consumer price index reached 110.61 points, marking a 0.76 percent increase from the same month of 2023

The monthly rise was influenced by a hike in prices of personal items by 21.38 percent, an increase of water and sanitation services by 7.34 percent, a rise in tobacco prices of 6.77 percent, and food seasonings and enhancers up 4.82 percent.

These increases were partially offset by declines in categories such as fruits and nuts, down by 6.92 percent; vegetables and pulses, down by 6.31 percent; and furniture and carpets, down by 3.04 percent, as well as fuel and lighting, down by 2.74 percent.

The CPI remained stable from September to October. Minor price drops were recognized in several categories, including meat and poultry, which fell by 1.81 percent; fruits and nuts, down 1.24 percent; and culture and entertainment, which declined by 0.95 percent. Transportation costs decreased by 0.72 percent, while fuel and lighting saw a reduction of 0.65 percent.

In parallel, Jordan’s industrial production index recorded a cumulative increase of 0.48 percent through September, reaching 87.63 points compared to 87.22 points during the same period last year.

This rise was attributed to a robust performance in the mining sector, which surged by 8.34 percent, and electricity production, which increased by 5.41 percent. However, manufacturing output saw a slight decrease of 0.28 percent.

For September alone, the IPI rose 3.41 percent year-on-year to reach 89.83 points, supported by growth in manufacturing, up 3.35 percent, mining, up 7.46 percent, and electricity production, up 0.71 percent.

However, the index dropped by 1.17 percent from August to September, primarily due to a 14.63 percent decrease in electricity output and a 4.47 percent decline in mining, while manufacturing remained stable with a minor 0.01 percent increase.

These economic indicators reflect ongoing inflationary pressures on Jordan’s consumer sector alongside moderate growth in industrial output, underscoring the mixed economic conditions influenced by domestic and global factors.