NASSAU, BAHAMAS — Bahamian consumers saw a modest break in the cost of living in April, as the country’s inflation rate declined for the second consecutive month, according to new data released by the Bahamas National Statistical Institute (BNSI).
The Consumer Price Index (CPI), which measures average changes in the prices of goods and services, fell by 0.1 percent in April compared to March. More significantly, prices were down 0.4 percent compared to the same period last year, signaling a shift after several years of elevated inflation driven by global supply chain disruptions and rising energy costs.
Declining Costs in Key Categories
Driving the year-on-year decrease were lower costs in major household expenses. Housing, water, electricity, gas, and other fuels dropped 3.5 percent compared to April 2024. Food and non-alcoholic beverages, often a critical concern for consumers facing high grocery bills, were 1.7 percent cheaper than a year ago. Recreation and culture also saw a decline of 2.7 percent year-on-year.
On a month-to-month basis, prices for food and non-alcoholic beverages decreased by 0.8 percent in April. Furnishing, household equipment, and routine household maintenance declined by 0.6 percent, while health-related costs slipped 0.1 percent.
The only major category to increase slightly in April was restaurants and hotels, which edged up by 0.1 percent compared to March, suggesting some lingering upward pressure in service-related costs.
Fuel Prices Ease from Last Year
Motorists are also seeing some relief at the pump. Gasoline prices rose slightly — by 0.7 percent — in April compared to March. However, both gasoline and diesel remain cheaper than a year ago, with gasoline prices falling 4.8 percent and diesel dropping 5.5 percent compared to April 2024.
Average gasoline prices in April stood at $5.51 per gallon, while diesel averaged $4.98 per gallon.
A Shift from Past Highs
The recent data marks a notable change from previous years when inflation rates hovered around 4 to 7 percent amid the global pandemic and energy market volatility. In April 2022, for instance, the year-on-year inflation rate stood at 5.2 percent, while April 2023 saw prices still up by 4.0 percent over the prior year.
Economists note that while falling prices are a positive sign, persistent uncertainties in global markets and local economic factors mean inflation trends should continue to be watched closely in the months ahead.
The Bahamas National Statistical Institute publishes monthly CPI updates, offering insight into price trends affecting Bahamian households and businesses.
