Namibia's Annual Inflation Eases to 3.2 Percent in December 2025

(MENAFN) Namibia witnessed a decline in its year-over-year inflation rate, which fell to 3.2 percent last December from the 3.4 percent level recorded twelve months prior, according to a Thursday statement from the Namibia Statistics Agency (NSA).

Monthly price changes showed minimal movement, with inflation rising just 0.1 percent from November to December—a period when November had seen zero fluctuation. The modest uptick suggests prices remained largely steady as 2025 drew to a close.

However, beneath the headline figure, significant cost increases persisted across multiple spending categories, the statistics office noted.

Essential services led the inflationary surge. Housing combined with water, electricity, gas, and related fuels climbed 4.5 percent annually—up from 4.4 percent the previous year—representing the sharpest rise among all categories tracked by officials.

Education costs and recreation and culture expenses each advanced 4.3 percent year-over-year, placing them as the second-highest inflation drivers.

The hospitality sector faced a 4.2 percent price escalation, with hotels, cafes, and restaurants all experiencing upward pressure. Alcoholic beverages and tobacco products saw costs jump 3.7 percent.

Detailed breakdowns revealed diverging trends between goods and services. Physical goods inflation decelerated to 2.7 percent in December 2025 compared to 3.1 percent during the same timeframe in 2024, signaling reduced pricing strain on tradable merchandise.

Services inflation moved in the opposite direction, accelerating from 3.9 percent in December 2024 to 4.0 percent in the most recent reporting period.

Core inflation—a metric that strips out unpredictable food and energy costs to reveal fundamental pricing trends—registered at 3.4 percent, exceeding the overall headline rate by 0.2 percentage points.

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