Cyprus recorded the lowest annual inflation rate among euro area countries in July 2025, with consumer prices rising by just 0.1% year-on-year, according to a flash estimate published by Eurostat, the statistical office of the European Union.
This marks a further slowdown from 0.5% in Jun. The monthly inflation rate in Cyprus stood at 0.4%, the flash data showed.
At the euro area level, annual inflation remained stable at 2.0%, unchanged from June. Among member states, the highest inflation rates in July were observed in Estonia (5.6%), Croatia (4.5%), and Slovakia (4.5%), while the lowest were in Cyprus (0.1%), France (0.9%), and Ireland (1.6%).
The main driver of euro area inflation in July was food, alcohol and tobacco category, with a projected annual rate of 3.3%, up from 3.1% in June. This was followed by services (3.1%) and non-energy industrial goods (0.8%), while energy prices continued to decline, with a deflation rate of -2.5%, slightly less negative than June’s -2.6%.
The euro area’s underlying inflation, excluding energy and unprocessed food, stood at 2.4% in July, indicating a modest deceleration of price pressures in core components of the consumer basket.
Final confirmed figures for July will be published by Eurostat later in the month.
(Source: CNA)
