Inflation measures the rate at which the general level of prices for goods and services rises over time, eroding the purchasing power of money. This comprehensive comparison shows inflation rates across countries worldwide, allowing you to see which nations are experiencing price stability and which are facing significant inflationary pressures.
Understanding inflation is crucial for economic planning, investment decisions, and assessing the economic health of different countries. The data presented here includes historical development, enabling you to track inflation trends over time and compare how different economies have managed price stability.
Inflation Rate by Country
Inflation Statistics
Understanding Inflation
Inflation is calculated as the annual percentage change in the Consumer Price Index (CPI), which tracks the average price level of a basket of goods and services consumed by households. Moderate inflation (typically 2-3% annually) is generally considered healthy for economic growth, as it encourages spending and investment rather than hoarding money.
However, high inflation can severely impact economies by reducing purchasing power, eroding savings, and creating uncertainty that discourages long-term investment. Hyperinflation, where prices rise by more than 50% per month, can completely destabilize an economy and lead to social and political unrest.
Factors Affecting Inflation
- Monetary policy: Central banks control money supply through interest rates and quantitative easing
- Demand-pull inflation: When demand exceeds supply, prices rise
- Cost-push inflation: Rising production costs, including wages and raw materials
- Exchange rates: Currency depreciation increases import prices
- Fiscal policy: Government spending and taxation affect aggregate demand
Economic Implications
- Purchasing power: High inflation reduces what money can buy
- Savings: Real value of savings decreases with inflation
- Interest rates: Central banks raise rates to combat inflation
- Wages: Workers demand higher wages to maintain living standards
- Competitiveness: High inflation can make exports more expensive
See also: Unemployment rates, Average income, Cost of living.
Inflation Rate Ranking
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Compare inflation rates and trends between any two countries with detailed historical data and charts.
Compare global inflation data, trends, and economic indicators for 2025. Updated annually from reliable sources like the World Bank and IMF.
Data sources: World Bank, IMF, OECD