The National Statistics Institute (INE) said the annual rate dropped to 9.33%. That is near the lowest level in its IPCN series since 2015.

Inflation eases further

The July figure was 0.78 percentage points lower than June 2026. It was also about 10 percentage points below the same month last year. That keeps Angola inflation on a clear downward path after a prolonged period of double-digit price growth.

The latest reading also strengthens the case for softer monetary conditions ahead. Angola’s central bank cut its key policy rate by 125 basis points to 15.75% on July 14, 2026, as inflation slowed further.

Price pressure did not disappear evenly across the basket. Education posted the strongest annual increase at 25.24%. Food and non-alcoholic beverages rose 10.40%. Housing, water, electricity and fuels climbed 10.17%. Health increased 10.16%.

Food and non-alcoholic beverages remained the main driver of the overall price level in July. That matters for households because it is the category most closely tied to daily spending.

Regional spread remains wide

The national rate hides a sharp provincial divide. Cuanza-Norte, Huambo and Cunene recorded the lowest annual inflation rates, at 6.00%, 6.59% and 6.86% respectively.

Cabinda, Malanje and Lunda Sul posted the highest readings, at 13.09%, 12.01% and 11.40%. That gap shows price trends remain uneven across the country.

However, the composition of July’s move shows that pressure remains concentrated in essentials and services. Education, food and utilities are still rising faster than the headline rate. That means the disinflation process is improving, but not yet complete.

Investors will watch the August data and the central bank’s response closely. That will shape the outlook for rates, consumer demand and wider economic momentum.

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