Latest reading: Harmonized consumer prices increased 3.5% on a year-on-year basis in May, following a 3.6% rise in the previous...
Inflation in Euro Area
The Euro area faced generally low inflation rates over the last decade, often below 2%, reflecting the region's slow economic growth and low inflation expectations. That said, the picture has changed notably since the pandemic: Inflation has exceeded the European Central Bank's 2% from 2021 through 2024, due to the initial rebound in economic activity, global supply pressures, a rise in protectionism and the reduction of Russian gas flows to the bloc.
In the year 2024, the inflation in Euro Area was 2.36%, compared to 0.43% in 2014 and 5.42% in 2023. It averaged 2.21% over the last decade. For more inflation information, visit our dedicated page.
Euro Area Inflation Chart
Note: This chart displays Inflation (HICP, ann. var. %, aop) for Euro Area from 2014 to 2025.
Source: Macrobond.
Euro Area Inflation Data
| 2021 | 2022 | 2023 | 2024 | 2025 | |
|---|---|---|---|---|---|
| Inflation (HICP, ann. var. %, aop) | 2.6 | 8.4 | 5.4 | 2.4 | 2.1 |
| Inflation (HICP, ann. var. %, eop) | 5.0 | 9.2 | 2.9 | 2.4 | 2.0 |
| Inflation (PPI, ann. var. %, aop) | 12.2 | 32.7 | -2.1 | -4.2 | 0.3 |
Inflation picks up in May from April
Latest reading: Harmonized consumer prices increased 3.2% in annual terms in May, following a 3.0% rise in the previous month. May's reading was the strongest since September 2023. Relative to the prior month's figures, there were higher price pressures for energy prices (+11.0% in annual terms vs +10.8% in April), services (+3.5% vs +3.0% in April) and non-energy industrial goods (+0.9% vs +0.8% in April). In contrast, price pressures reduced for food, alcohol and tobacco in May (+2.0% vs +2.4% in April). Meanwhile, core consumer prices rose 2.6% on a year-on-year basis in May, following a 2.2% rise in the previous month. Finally, harmonized consumer prices increased 0.10% in May on a month-on-month basis, following a 1.03% rise in the prior month.
Consensus Forecasts and Projections for the next ten years
How should you choose a forecaster if some are too optimistic while others are too pessimistic? FocusEconomics collects European inflation projections for the next ten years from a panel of 72 analysts at the leading national, regional and global forecast institutions. These projections are then validated by our in-house team of economists and data analysts and averaged to provide one Consensus Forecast you can rely on for each indicator. By averaging all forecasts, upside and downside forecasting errors tend to cancel each other out, leading to the most reliable inflation forecast available for European inflation.
Download one of our sample reports to visualize what a Consensus Forecast is and see our European inflation projections.
Want to get access to the full dataset of European inflation forecasts? Send an email to info@focus-economics.com.
Latest Global Inflation News
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Ireland: Inflation eases in May from April -
Luxembourg: Inflation slows in May from April Latest reading: Harmonized consumer prices were up 4.5% in annual terms in May, following a 5.2% rise in the previous... -
Latvia: Inflation rises in May from the prior month Latest reading: Harmonized consumer prices increased 3.5% on a year-on-year basis in May, following a 2.9% increase in the prior... -
Lithuania: Inflation picks up in May from the prior month Latest reading: Harmonized consumer prices were up 5.1% on a year-on-year basis in May, following a 4.9% increase in the... -
Japan: Inflation accelerates in May from April Latest reading: Consumer prices were up 1.5% in annual terms in May, following a 1.4% increase in the prior month.... -
Bulgaria: Inflation rises in May from April Latest reading: Harmonized consumer prices rose 6.3% on a year-on-year basis in May, following a 6.0% rise in the prior... -
Austria: Inflation accelerates in May from April Latest reading: Harmonized consumer prices increased 3.7% in annual terms in May, following a 3.4% rise in the previous month....