Inflation Israel 2023

Average inflation: 4.2%

Current Inflation

Inflation is high at 4.2%, well above the ECB target.

Peak and Trough

The highest inflation was in January at 5.3%. The lowest inflation was in December at 2.9%.

Highest month
January: 5.3%
Lowest month
December: 2.9%
Difference
2.4 percentage points
Months with data
12 of 12

Category Insights

The highest price increase was in Transport with an average of 6.9%. The lowest price increase was in Clothing and footwear with an average of -8.1%.

Highest increase
Transport: 6.9%
Lowest increase
Clothing and footwear: -8.1%

Historical Context

Current inflation is 2.1% higher than the 5-year average of 2.1%. This approaches the highest level since records began (4.5% in 2008).

5-year average
2.1%
10-year average
1.1%
All-time high (2008)
4.5%
All-time low (2020)
-0.6%

Trend

Inflation shows an upward trend. Compared to 2022, inflation has risen by -0.2 percentage point.

Change vs. previous year
-0.2 percentage points
Largest monthly swing
December: -2.4 percentage points

ECB Target

Inflation is 2.2% above the ECB target of 2.0%. This means purchasing power is declining faster than intended.

Purchasing Power

At this inflation rate, purchasing power noticeably decreases. Without a salary increase, you can buy less with the same money.

What you could buy for €100 this year will cost approximately €104.20 next year at this inflation rate.

Multi-year trend

Monthly figures 2023

Inflation by category

Food and non-alcoholic beverages
4.6%
+0.4vs avg.
More details →
Alcoholic beverages, tobacco and narcotics
4.2%
-0.0vs avg.
More details →
Clothing and footwear
-8.1%
-12.3vs avg.
More details →
Housing, water, electricity, gas and other fuels
6.3%
+2.1vs avg.
More details →
Furnishings, household equipment and maintenance
-2.9%
-7.2vs avg.
More details →
Health
3.8%
-0.4vs avg.
More details →
Transport
6.9%
+2.7vs avg.
More details →
Communication
-2.2%
-6.4vs avg.
More details →
Recreation and culture
1.7%
-2.5vs avg.
More details →
Education
3.4%
-0.8vs avg.
More details →
Restaurants and hotels
3.9%
-0.3vs avg.
More details →
Miscellaneous goods and services
3.8%
-0.4vs avg.
More details →

Inflation differs per product group. Click on a category for the historical trend.

Month overview

Month Inflation Difference vs. 2022
January 5.3% +2.1
February 5.2% +1.7
March 5.0% +1.5
April 5.0% +1.1
May 4.6% +0.4
June 4.2% -0.3
July 3.4% -1.7
August 4.3% -0.3
September 3.9% -0.7
October 3.7% -1.4
November 3.3% -2.0
December 2.9% -2.4
Average 4.2%

Data source

Data from OECD. Last updated: 11/01/2026.

See also