European Union Inflation Rate Monthly Trends: European Consumer Price Indexes (2024)

FAQs

What is the trend in inflation in Europe? ›

European Union Inflation Rate is at 2.70%, compared to 2.60% last month and 7.10% last year. This is higher than the long term average of 2.24%.

Basic Info. Eurozone Inflation Rate is at 2.60%, compared to 2.40% last month and 6.10% last year. This is higher than the long term average of 2.04%.

Inflation rate in Europe in March 2024, by country. As of December 2023, the inflation rate in the European Union was 3.4 percent, with prices rising fastest in Czechia, which had an inflation rate of 7.6 percent.

As illustrated in the chart below, U.S. inflation peaked before European counterparts and further, the peak was lower. But in recent months, things have changed. Pricing pressures in Europe have eased faster than in the U.S. and there could be important investment implications from these new developments.

For core inflation, the ECB predicts an average rate of 2.8% in 2024, 2.2% in 2025 and 2.0% in 2026. And economic growth is expected to pick up to 0.9% in 2024, 1.4% in 2025 and 1.6% in 2026. The next ECB monetary policy meeting will take place on July 18.

Eurozone Consumer Price Index is at a current level of 126.04, up from 125.31 last month and up from 123.12 one year ago. This is a change of 0.58% from last month and 2.37% from one year ago.

The Consumer Price Index measures the overall change in consumer prices based on a representative basket of goods and services over time. The CPI is the most widely used measure of inflation, closely followed by policymakers, financial markets, businesses, and consumers.

On a monthly basis, the level of CPIH was little changed in July 2024, compared with a fall of 0.3% in July 2023. The Consumer Prices Index (CPI) rose by 2.2% in the 12 months to July 2024, up from 2.0% in June 2024.

Inflation Rate in European Union decreased to 2.60 percent in June from 2.70 percent in May of 2024. Inflation Rate in European Union averaged 2.44 percent from 2000 until 2024, reaching an all time high of 11.50 percent in October of 2022 and a record low of -0.60 percent in January of 2015. source: EUROSTAT.

Inflation in the Euro currency area, which hit a peak of 10.6 percent in October 2022, is set to continue to fall in 2024, as economic forecasts predict that the HICP inflation rate will be between 2.4 percent and 3.3 percent over the year.

What is the euro target inflation rate? ›

We are targeting an inflation rate of 2% over the medium term. Our commitment to this target is symmetric: we view inflation that is too low just as negatively as inflation that is too high.

In the EU, the annual inflation was 2.6% in April 2024, stable compared to March 2024. A year earlier, the rate was 8.1%. These figures are published by Eurostat, the statistical office of the European Union. The lowest annual rates were registered in Lithuania (0.4%), Denmark (0.5%) and Finland (0.6%).

Aside from improvements in supply-side factors impacting inflation, such as the significant decline in energy prices, Italy's inflationary pressures have also subsided due to demand-side influences. Fundamentally, monetary policy has effectively influenced the Italian economy in recent years.

Which countries have the highest inflation rates? As of August 2024, the countries with the current highest inflation rates are Argentina (271.5%), Venezuela (51.4% %), Turkey (61.78%) and Sudan (146.6%).

Meantime, EU inflation has fallen dramatically since it peaked in 2022. It is expected to wind down to 2.7% in 2024 and to 2.2% in 2025. The jobs market is also performing well. Despite the slowdown in activity, the EU economy created more than 2 million jobs in 2023.

France inflation rate for 2022 was 5.22%, a 3.58% increase from 2021. France inflation rate for 2021 was 1.64%, a 1.17% increase from 2020. France inflation rate for 2020 was 0.48%, a 0.63% decline from 2019. France inflation rate for 2019 was 1.11%, a 0.74% decline from 2018.

As of August 2024, the countries with the current highest inflation rates are Argentina (271.5%), Venezuela (51.4% %), Turkey (61.78%) and Sudan (146.6%).