According to data published by the Central Bank, the inflation rate in the republic reached 11.6% in January 2025. This figure is higher than both the national average of 9.9% and the average inflation rate for the North Caucasus Federal District, which stands at 10.5%.

The primary cause of this high inflation rate in Dagestan is attributed to a shortage of fruits and vegetables, as well as increased costs for producers. Greenhouse growers in particular have faced labor shortages and higher logistics expenses, resulting in a rise in prices for cucumbers, tomatoes, and herbs.

Furthermore, the owners of several restaurants in Makhachkala reported a significant increase in the prices of cocoa, coffee and consequently, the sweets.