Inflation in Antigua and Barbuda has continued its downward trajectory into the new year, with the latest Consumer Price Index (CPI) data showing prices declining both year-on-year and month-to-month, according to Antigua News Room.
Headline inflation fell by 1.3% in the twelve months to January 2026, extending a cooling trend in price pressures that began in late 2025. Prices also declined 1.9% between December 2025 and January 2026, indicating that the easing trend has carried firmly into the new year.
Statistical charts accompanying the report show that inflation fluctuated throughout 2025 before beginning to moderate toward the end of the year, eventually turning negative in early 2026.
The January decline was driven by falling prices across several major consumer categories, including transport, food, and miscellaneous goods and services. Transport services recorded one of the steepest reductions, reflecting a sharp drop in airline fares over the past year, while food prices also fell significantly during the period.
Overall, the data suggest that price pressures that had built earlier in 2025 have begun to ease, with multiple sectors contributing to the broader downward movement in the country's inflation rate.
The Consumer Price Index measures the average change in prices paid by households for a basket of goods and services and is widely used as the primary indicator of inflation and cost-of-living trends in Antigua and Barbuda.
Separate data from the same CPI report also shed light on how households in Antigua and Barbuda allocate their spending. Housing remains the single largest household expense, accounting for 218.3 out of every 1,000 units of consumer spending.
Food represents the second-largest share of household expenditure, at 214.2 out of every 1,000 units, reflecting the significant role of grocery and supermarket purchases in family budgets. Transport and communication combined account for a further 153.5 out of every 1,000 units of expenditure.
These spending weights, derived from the consumer patterns used to construct the CPI basket, determine how price changes in different sectors influence the overall inflation rate. As reported by Antigua News Room, analysts note that the breakdown underscores the central role of housing and food costs in shaping the cost of living in Antigua and Barbuda, as shifts in either category can have a considerable impact on household budgets.