Vegetable prices have risen slightly at several major fresh markets in Vientiane.                   –Photo Lao-Assie Fresh Market

July inflation edges up to 7.6 percent as electricity costs drive price increases

Laos’ annual inflation rate edged up to 7.6 percent in July, from 7.4 percent in June, as higher electricity charges, transport costs and seasonal increases in agricultural product prices pushed up the cost of living.
According to the Lao Statistics Bureau (LSB) under the Ministry of Finance, consumer prices rose 0.7 percent month-on-month in July, reflecting continued pressure on household expenses despite the relatively modest increase in the overall inflation rate.
The statistics showed electricity prices remained the biggest contributor to inflation, while higher housing costs and fuel prices continued to influence overall price levels.
Other categories recording price increases included healthcare and medical services, education, alcoholic beverages and tobacco, restaurants and hotels, transport and logistics, clothing and footwear, and a range of consumer goods and services.
On a month-on-month basis, electricity prices surged 91.5 percent, marking the largest increase among all categories.
Public transport costs rose significantly, with bus fares increasing 41.5 percent.
Although fuel prices declined compared to the previous month, they remained 30 percent higher than in July last year, continuing to place upward pressure on transportation and production costs.
Food prices were affected by seasonal factors. Sticky rice prices increased 3 percent, while several other agricultural products recorded price rises due to changes in seasonal production and supply.
The LSB said the combined effect of higher utility charges, transport costs and seasonal food price increases contributed to the overall rise in consumer prices during July.
While the annual inflation rate increased only slightly compared to June, rising prices for essential household expenditures, particularly electricity, transport, healthcare and education, continue to affect consumers’ purchasing power.
The latest figures highlight the ongoing challenge of managing household budgets as families face higher living costs across several essential sectors.

By Times Reporters
 (Latest Update July 30, 2026)