The Maldives Bureau of Statistics reported a 1.19% month-on-month increase in Malé’s Essential Commodities Price Index (ECPI) in August 2025, reaching 114.82. This represents a 1.92% year-on-year rise, primarily driven by escalating food prices.
Food prices experienced a significant 1.62% increase from July, with fruits showing the most dramatic surge at 6.13%, followed by a 2.23% rise in vegetable prices. A slight decrease of 0.78% in meat prices partially offset these gains. Annually, food prices climbed 1.96%, reflecting a 10.20% increase in fruit prices and a 5.34% rise in oils and fats. Conversely, vegetable prices decreased by 6.32% year-on-year.
Beverage prices saw a modest 0.23% monthly decrease, attributed mainly to lower coffee and tea costs. However, compared to August 2024, beverage prices increased by 1.58%, with coffee prices rising by 8.22% and fruit and vegetable juices increasing by 6.97%. This highlights the volatility within the beverage sector.
The personal care category registered a 0.38% increase in August, resulting in a 4.33% year-on-year rise. In contrast, gas and other fuel prices remained unchanged month-on-month, but showed a 1.46% year-on-year decrease. This disparity underscores the sector-specific nature of price fluctuations.
The ECPI, a key indicator tracking price movements across 96 essential goods—including food, beverages, fuel, and personal care products—serves as an early warning system for inflation. Food items constitute the largest portion of the index, holding a significant 71% weight, emphasizing its considerable influence on overall inflation trends in Malé. The index’s composition and weighting system provide valuable insights into the dynamics of consumer prices in the Maldivian capital.
The detailed breakdown of price changes within the ECPI offers a comprehensive understanding of the factors contributing to the overall increase. The contrasting trends observed across different categories highlight the complexity of price dynamics and the need for ongoing monitoring to effectively manage inflation.
Further analysis of the ECPI data is crucial for policymakers to implement appropriate measures to mitigate the impact of rising prices on consumers. The significant weight of food in the index underscores the importance of addressing food price volatility to stabilize the overall cost of living in Malé.
The month-on-month and year-on-year comparisons provided by the ECPI offer valuable insights into the short-term and long-term trends in essential commodity prices. This data is essential for informed decision-making regarding economic policy and consumer welfare.
The relatively stable performance of the gas and fuel sector, despite the year-on-year decrease, contrasts sharply with the significant increases observed in other sectors. This disparity warrants further investigation to understand the underlying factors driving these divergent trends.
The August 2025 ECPI data underscores the ongoing need for careful monitoring and analysis of price movements in essential commodities to ensure the stability of the Maldivian economy and the well-being of its citizens. The significant role of food prices in shaping overall inflation highlights the importance of proactive measures to address food security and price volatility.