Annual harmonized inflation rose slightly in May and reached a value of 2.6%
The annual inflation measured by the harmonized index of consumer prices according to the European harmonized methodology reached the value 2.6% in May 2024, which was 0.2 percentage points more than its value in April 2024. The month-on-month HICP inflation reached the value 0.1%.
The average annual rate of HICP inflation (comparing change in the average price level for the average of the harmonized consumer price indices for the last 12 months compared to the average of the previous 12 months) reached in May 2024 the value 6.3%, a year ago - in May 2023 its value was 14.1%. The average annual HICP inflation rate is an important indicator of a country’s price stability, its level is also considered as one of the four so-called Maastricht criteria that an EU Member State must meet before adopting the euro.
In May 2024, the harmonized indices of consumer prices increased by 0.1% month-on-month in total. The month-on-month increase in the price level was mostly affected by the increase in prices in the Food and non-alcoholic beverages division (a total positive contribution to the month-on-month inflation was +0.27 percentage point). The second and third most significant influence on the increase of prices in May compared to the price level in April had the divisions: Restaurants and hotels (+0.05 p.p.) and Clothing and footwear (+0.04 p.p.). On the contrary, the decrease of prices and the highest negative contribution to the month-on-month inflation was reached in the division Transport (the negative contribution of the entire division amounted to -0.19 p.p.).
The resulting summary of harmonized inflation within Europe for May 2024 can be found on 18 June 2024 from 11 a.m. on the Eurostat website.