Israel's Consumer Price Index rose 0.7% in August 2026, reaching 105.8 points, according to data released by the Central Bureau of Statistics.
Despite the notable monthly increase, the annual inflation rate over the past 12 months remained unchanged at 1.5%, since a similar rise was recorded in the corresponding month last year.
Among the major categories driving the index higher, fresh vegetables led the way with a 2.9% increase, followed by transportation at 2.7%, culture and entertainment at 2.0%, and housing at 0.6%.
On the other side of the ledger, several categories registered price decreases, headlined by fresh fruits which fell 2.0%, clothing and footwear down 0.8%, food prices down 0.5%, and furniture and household equipment down 0.3%.
In the housing market, a comparison of transactions completed in June and July 2026 versus May and June shows apartment prices rose 0.2%. However, the year-over-year comparison with the corresponding period last year reveals a 1.2% decline.
Additionally, rent for tenants renewing their leases increased 2.6% over the past year, while new tenants faced a steeper average increase of 4.4%.
In the residential construction inputs sector, the index fell 0.1% in July, though on an annual basis it reflects a 3.5% increase, primarily due to ongoing rises in labor costs in the industry.
