Top 10 African countries with the lowest cost of goods and services in 2025

A low Consumer Price Index change ordinarily indicates that prices are either growing slowly, remaining stable, or even declining somewhat, which is typically good news for any given economy, especially for African countries suffering high levels of inflation.

Business Insider Africa presents the top 10 African countries with the lowest cost of goods and services in 2025.
This list is courtesy of a report by the World Bank.
Seychelles ranks number 1 on the list.

When the Consumer Price Index (CPI) sees a significant shift, notably an increase, it causes ripples throughout a country’s economy.

The CPI, which measures the average change in prices paid by consumers for goods and services over time, is an important measure of inflation.

A higher CPI often indicates overall price rises, resulting in a higher cost of living.

Rent, food, utilities, healthcare, and transportation are all becoming more costly, pushing families to reduce discretionary spending or tap into savings.

Conversely, a low CPI change means that prices for everyday necessities like food, transportation, and housing are not rapidly rising, giving consumers some breathing room, especially for households with fixed or modest incomes.

This helps maintain purchasing power and makes it easier to save money or pay down debt.

Businesses gain from minimal CPI changes because they enable greater cost control and financial planning.

When prices remain steady, businesses may set long-term pricing, wages, and investment plans without worry of unexpected cost increases.

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In an atmosphere of low and steady inflation, savers are less likely to see their money’s value decrease over time.

This boosts trust in financial institutions, makes long-term deposits more appealing, and encourages healthy capital accumulation in the economy.

Furthermore, people on fixed incomes, such as seniors and retirees, benefit greatly from minimal CPI changes. When inflation is low, their income retains more of its real-world worth, allowing them to buy basics without having to constantly adjust.

For export-dependent countries, a low and consistent CPI change helps keep manufacturing costs under control. This permits their products and services to stay competitive on the global market, promoting trade and economic stability.

With that said, here are the African countries with the lowest consumer price index change in 2025, as seen in the Africa Pulse Report by the World Bank.