Laos’ inflation rate rose to 6.2 percent in February 2026, up from 5.1 percent in the previous month, indicating renewed price pressures after a brief easing.
February’s Consumer Price Index (CPI) reached 258.7, a rise from 256.8 in January and 243.5 in the same month last year, reflecting continued year-on-year price growth.
Housing and Energy Costs Drive Inflation
The biggest contributor to inflation was the housing, water supply, electricity, and cooking fuel category, which saw a 24.3 percent increase year-on-year.
This was mainly due to higher construction-related costs, including steel, plywood, and labor wages
Other categories also showed notable increases.
Health care and medicine rose 13 percent, education increased 11.7 percent, alcohol and tobacco climbed 8.1 percent, and restaurants and hotels grew 8.0 percent. Clothing and footwear advanced 7.3 percent, while miscellaneous goods and services surged 37 percent, mainly due to rising gold prices, according to Laos Statistic Bureau.
On a month-on-month basis, overall prices increased 0.7 percent in February 2026, reversing the 0.2 percent decline recorded in January.
Alcohol and tobacco prices rose 1 percent, restaurants and hotel prices increased 1 percent, and housing-related costs edged up 0.8 percent.
The primary drivers of inflation were rising domestic demand and higher energy prices. International energy prices increased by 12 percent, while domestic fuel prices also saw a rise, with diesel prices climbing by 7.2 percent.


