ArmInfo. Consumer price inflation in Armenia accelerated to 4.5% in March 2026, up from 3.3% during the same period last year. According to the RA Statistical Committee, the primary driver behind this spike is the rapid increase in food costs, which rose by 7.8% annually.
Inflation in the first quarter of 2026, was higher than last year, - 3.2% versus 2%, which was also due to an acceleration in food price growth from 3.7% to 6.8%. According to the Statistical Committee of the Republic of Armenia, in March of this year alone, inflation was 0.7% (compared to 0.5% a year earlier in the same month), also driven by accelerated food price growth to 1.6% (compared to 0.7% in March last year). In Yerevan, consumer prices increased by 0.8% in March, compared to 0.5% growth in March 2025.
In the first quarter of this year, services increased less significantly - by 0.7% (compared to 1% a year earlier), while non-food items fell by 0.2% (the same as a year earlier). In March 2026, compared to March 2025, prices for services increased by 2.6%, and prices for non-food goods by 0.8%. A year earlier, in March 2025 compared to March 2024, there was a slightly more noticeable increase in tariffs for services of 2.9% and a decrease in prices for non-food goods of 0.5%.
In the first quarter of 2026, compared to the same period in 2025, inflation accelerated to 4.2% (from 2.5% a year ago). This was due to an acceleration in food price growth from 4.1% to 7% and services from 2.7% to 2.8%, as well as an increase in prices for non-food goods of 0.9% (compared to a 1.1% decrease a year ago). In the food market, prices for fruits and vegetables increased year-on-year (March 2026 vs. March 2025) by 3.1% and 5.6%, respectively (compared to double-digit price increases a year ago of 21% for vegetables and 11.3% for fruits). Moreover, in March, prices for vegetables increased more significantly (5.7%) than for fruits (3.9%), while a year ago (March 2025), prices for fruits increased more significantly (4.9%) than for vegetables (1.7%). Among food products, the prices of eggs have increased significantly year-on-year - by 30.1%, cocoa - by 28.3%, beef - by 15.1%, lamb - by 13.8%, pork - by 12%, chocolate - by 10.1%, and by the same amount of buckwheat - by 10.1%, sunflower oil - by 9.5%, pasta - by 9.4%, wheat groats - by 8.5%, butter - by 8.2%, cheeses - by 8.1%, coffee - by 7.9%, flour - by 5.5%, poultry - by 5.1%, and more modestly increased in price bread, trout and peas - by the same 3%, sugar and granulated sugar - by 2.8%. At the same time, there was a year-on-year decline in the price of rice, lentils, and beans - by 2.6%, 1.6%, and 0.1%, respectively.
Cigarette prices increased by 9.7% year-on-year, compared to a 4.8% increase the year before. Among alcoholic beverages, vodka saw the most significant year-on-year increase - by 9.2%, while beer and wine saw more modest increases - by 3.6% and 0.5%, respectively. This was also the case last year, when vodka, wine, and beer increased by 6.5%, 2.1%, and 1.4%, respectively. Bottled mineral water also increased more significantly - by 4.9% year-on-year, compared to 1% the year before. In the non-food market, the annual price growth accelerated for jewelry - from 20.2% to 54.5%, small household electrical appliances - from 1.9% to 2.2%, medical equipment - from 1% to 2.4%. The price of medicines began to grow more slowly - by 3% per annum (versus 3.7% a year ago). There was a rise in prices for large household electrical appliances - by 2% (versus a 3.6% decline a year ago), disposable household goods - by 1.8% (versus a 3.7% decline a year ago), clothing - by 1.7% (versus a 3.9% decline a year ago), tableware and kitchen utensils - by 1.6% (versus a 1.3% decline a year ago). At the same time, the prices of gardening tools began to fall - by 12.8% per annum (versus a price increase of 9.4% a year ago). Footwear prices also remained in decline, falling by 0.4% per annum (versus 1.6% a year ago), construction materials by 0.1% per annum (versus 1.1% a year ago), and furniture by 1.1% (versus 0.4% a year ago).
Gasoline and diesel fuel prices fell year-on-year (March 2026 vs. March 2025) by 6.3% and 5.9%, respectively. A year ago, gasoline prices increased slightly by 0.6%, while diesel fuel prices fell by 4.9%. From January to March 2026, gasoline prices increased by 1.7% and diesel fuel prices fell by 0.1%, while a year ago, gasoline prices remained unchanged and diesel fuel prices increased by 0.4%. Gasoline and diesel fuel prices fell year-on-year (March 2026 vs. March 2025) by 6.3% and 5.9%, respectively. A year ago, gasoline prices increased slightly by 0.6%, while diesel fuel prices fell by 4.9%. From January to March 2026, gasoline prices increased by 1.7% and diesel fuel prices fell by 0.1%, while a year ago, gasoline prices remained stable and diesel fuel prices increased by 0.4%.
Regarding service tariffs, significant annual growth continued in the areas of comprehensive recreation services (16.4%) and transportation (9.9%) (including insurance by 11.7%), compared to 11.6% and 12%, respectively, a year ago. Tariffs for medical services accelerated in year-on-year growth from 3.6% to 5.9%, and for hospital services, from 2.2% to 5.7%. However, the increase in prices for dental services slowed, from 5.6% to 2.9%, and for doctor consultations, from 9.6% to 6.4%. In the hotel industry, prices for services increased by 4% (compared to a 2.6% decrease a year ago). Tariffs for hairdressing and spa services slowed significantly in year-on-year growth, from 13.8% to 2.3%. Financial services, however, accelerated in year-on-year growth to 2.1%, while a year ago, the rate slowed from 7.7% to 1%. March's annual consumer price inflation of 4.5% was accompanied by a 3.9% appreciation of the dram against the dollar, which was also observed in more modest terms a year ago: inflation of 3.3% and a 1.9% appreciation of the dram against the dollar. In March 2026, the dram strengthened against the dollar to 377.4 drams per dollar, from 392.8 drams per dollar in March 2025.
It should be noted that starting in 2025, the inflation target is set at 3% with an acceptable range of +/- 1 percentage point (versus the previous 4%, +/- 1.5 percentage points).
