The Tribune

THE Bahamas’ annual inflation rate saw its highest increase in more than two years in March 2026 to demonstrate the near-constant cost of living and pricing pressures facing Bahamian families.

The Bahamas National Statistical Institute (BNSI), unveiling its report on the Consumer Price Index (CPI) for a month which saw the US and Israel trigger an oil price spike by striking Iran, revealed that Bahamian inflation increased by 3.1 percent compared to March 2025. The annual, or 12-month inflation rate, had been steadily ticking up since September 2025 with increases ranging from 2 percent to 2.8 percent, but March was the first time it jumped over 3 percent in over two years.

“On a year-over-year basis, March 2026 compared to March 2025, the Consumer Price Index (CPI) for March 2026 increased by 3.1 percent compared to the same period in 2025,” the Institute said.

“The primary categories contributing to the year-over-year increase were restaurant and hotels, 17.6 percent; furnishings, household equipment and routine household maintenance, 8.5 percent; and the housing, water, electricity, gas and other fuels category, which also rose by 4.4 percent. In contrast, the category alcoholic beverages, tobacco, and narcotics declined by 6.7 percent over the same period.”

Explaining that inflation “reflects the average change in prices of goods and services purchased by households over time,” the Institute added that the rate increased by 0.35 percent month-over-month for March compared to February 2026.

“The monthly inflation rate in The Bahamas increased by 0.35 percent in March 2026 compared to February 2026, reflecting changes in the average prices of goods and services purchased by consumers during the period. This follows an increase of 0.95 percent recorded between January and February 2026,” the Institute added.

“On a month-to-month basis, March 2026 compared to February 2026, the largest increases were recorded in clothing and footwear (2.7 percent), transport (1.8 percent) and Health (0.5 percent). In contrast, the largest decrease was observed in furnishings, household equipment and routine household maintenance (2.1 percent).”

As for fuel costs, the Institute said: “The petroleum and diesel index showed a month–over–month increase in March 2026, with petroleum prices rising by 5.4 percent and diesel prices increasing by 6.4 percent relative to February 2026. On an annual basis, both petroleum and diesel prices increased with petroleum seeing a 0.8 percent increase, while diesel increased 2.8 percent over the same period.”

Gasoline and diesel per gallon costs stood at $5.51 and $5.16, respectively, for March 2026.