Eurozone Inflation Creeps Up

Eurozone Inflation Creeps Up

Eurostat, the statistical office of the European Union, reported a slight increase in the annual inflation rate for the Eurozone in September 2025. The rate is now estimated at 2.2%, up from 2.1% in August. Prices rose by 0.1% compared to the previous month.

The core inflation rate, which excludes energy, food, alcohol and tobacco, remained stable at 2.3% in September, mirroring the figure recorded in August. This metric is closely monitored by the European Central Bank (ECB) in its efforts to achieve and maintain a price stability target of 2%.

Analysis of the main components contributing to inflation reveals that services are expected to show the highest annual rate at 3.2%, a slight increase from 3.1% in August. Food, alcohol and tobacco prices are projected at 3.0%, down from 3.2% the previous month. Industrial goods excluding energy remain steady at 0.8%, while energy prices show a moderated decline at -0.4%, a significant improvement from -2.0% a month prior.

The highest inflation rate within the Eurozone was recorded in Estonia at 5.2%, followed by Croatia and Slovakia, both at 4.6%. Notably, Cyprus registered a rate of 0.0%. Eurostat’s figures for Germany place the inflation rate at 2.4%, reflecting a different calculation method compared to that used by the German Federal Statistical Office, which also reported a rate of 2.4% earlier this week.