by Rochelle
While political debates about a “cost-of-living crisis” continue, the newest Government Gazette (Vol. 144, No. 11) released on 6 March 2026, reveals a complex picture for the average consumer.
According to the Consumer Price Index (CPI) for December 2025, the overall cost of living in Grenada saw a tiny decrease of 0.05% compared to November 2025. However, a closer look at the “basket of goods” shows that while some prices dropped, the essentials that families rely on daily are still seeing significant hikes. Compared to the same time in December 2024, several key areas have become more expensive:
- Elderly Care: One of the most striking figures in the report is a 33.33% increase in the cost of care for the elderly — a heavy burden for households with ageing relatives
- Water: Costs rose by 5.53% over the year
- Health and Education: These critical sectors saw steady increases of 2.44% and 1.74%, respectively
- Food Staples: Significant yearly increases were noted for Margarine (5.02%), Eggs (1.56%), and Pasta (1.14%)
Beyond the grocery aisle, the Gazette also provides a window into how Grenadians are reacting to these price shifts. Interestingly, despite the rise in utility and care costs, the list of new applicants for Liquor Dealing Licenses shows a surge in entrepreneurial activity. In St George and St Andrew alone, 41 new applications were gazetted, with applicants coming from diverse professional backgrounds, including a Qualified Teacher and a Construction Worker.
This trend highlights a notable economic irony: while consumers are vocal about the rising cost of non-negotiable utilities, spending in the “leisure and social” sector remains resilient. In fact, while the price of Beer rose by 3.75% over the last year (outpacing the general inflation rate of 0.57%), the high number of new license applications suggests that both business owners and consumers view this sector as a stable part of the local economy.
The data further suggests that Grenada remains vulnerable to global price shifts. Preserved (imported) Fish rose by 2.54% over the year, while Fresh Fish saw a much smaller increase of 0.66%. This highlights the potential benefit of supporting local industry, though even local Fresh Vegetables saw a monthly spike of 1.93% in December alone. The figures confirm that current government relief measures, such as the EC$10 electricity subsidy for small consumers, the EC$40 cap on cooking gas, and VAT exemptions on 20 essential items, are providing a necessary buffer. Without these interventions, the impact of global price shifts would likely be much more severe.
However, the Gazette also highlights a growing challenge: the savings gained from electricity subsidies or tax-free diapers are being offset by rising costs in utilities like water and essential services like healthcare. For the average Grenadian, the “cost of living” isn’t a single percentage; it is the difficult math of balancing a $10 saving on one bill against a 5% increase on another. The surge in new business applications for refreshment houses and liquor shops suggests a population that is looking for secondary income streams to cope with these bills while maintaining established social spending habits.
Ultimately, true relief in the coming months may depend on a combination of factors: addressing rising service costs, insulating local food production from global swings, and consumers potentially re-evaluating discretionary spending in the face of rising non-negotiable expenses.
