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In July 2025, East Timor experienced a modest rise in its annual inflation rate to 0.3%, following a period of no change in the previous month. This uptick was primarily attributed to increased prices in the categories of food and non-alcoholic beverages, which rose to 1.1% from 0.1% in June. Additionally, there were price increases in clothing and footwear, which saw an increment of 0.5% compared to the previous 1%, and in furnishings, household equipment, and maintenance, which went up to 0.8% from 0.7%. Conversely, there continued to be a decrease in the costs for alcohol and tobacco, dropping significantly to -3.2% from -0.9%, as well as in transport, which declined to -1% from -1.7%, and in communication, which fell to -1.1% from -0.9%. On a monthly scale, consumer prices experienced a 0.2% increase in July, building on a 0.1% rise noted in the prior month.