Palestinian Consumer Inflation Drops 25.18% Year-Over-Year in September 2026
Palestinian consumer prices declined 25.18% year-over-year in September 2026, marking a slower rate of deflation compared to the 34.25% drop recorded in August. The overall annual decline was heavily driven by conditions in the Gaza Strip, where prices plunged 46.43%. In contrast, annual prices continued to rise in the West Bank by 3.34% and in Jerusalem J1 by 2.83%.
Despite the annual drop, monthly consumer price index data showed an upward turn, rising 4.69% in September compared to a 0.09% gain in August. A sharp 11.36% monthly price surge in the Gaza Strip propelled the broader increase, while monthly inflation rose modestly in the West Bank by 0.53% and in Jerusalem J1 by 0.44%.
Higher costs for essential goods and services fueled the month-over-month increase. Key drivers included imported cigarettes, which climbed 28.95%, white flour up 11.96%, and fresh vegetables rising 8.57%. Additional price increases occurred in education services, passenger road transport, and eggs. Investors and observers will watch whether monthly price momentum in basic staples persists in coming months.
Key points
- Palestinian consumer prices fell 25.18% year-over-year in September 2026 after dropping 34.25% in August.
- Annual prices in the Gaza Strip plunged 46.43%, while rising 3.34% in the West Bank and 2.83% in Jerusalem J1.
- On a monthly basis, the consumer price index increased 4.69% in September, accelerated by an 11.36% jump in Gaza.
- Monthly price increases were led by imported cigarettes, white flour, fresh vegetables, education services, road transport, and eggs.
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How we writeDisclaimerQuestions and answers
How much did Palestinian consumer prices change in September 2026?
Consumer prices in Palestine fell 25.18% year-over-year in September 2026, following a 34.25% decline in August. On a monthly basis, prices rose 4.69%.
Why did prices fall in Palestine overall?
The year-over-year decline was driven by a 46.43% plunge in consumer prices in the Gaza Strip, even as prices rose in the West Bank and Jerusalem J1.
Which goods saw the highest monthly price increases in September 2026?
Monthly price gains were led by imported cigarettes (+28.95%), white flour (+11.96%), fresh vegetables (+8.57%), education services (+2.97%), road transport (+2.79%), and eggs (+1.24%).