20.08.202507:38:25UTC+00Austria Inflation Tops Forecasts to 16-Month High

Austria's annual inflation rate rose to 3.6% in July 2025, slightly surpassing initial estimates of 3.5% and the previous month's figure of 3.3%. This represents the highest inflation level since March of the previous year. The increase is primarily attributed to accelerated price hikes in food and non-alcoholic beverages, which increased to 5.2% from 4.7% in May, as well as in housing and utilities, which rose to 5.7% from 5.2%. Miscellaneous goods and services saw an increase to 4.7% from 3.6%. Conversely, the rate of cost decline in clothing and footwear slowed, registering at -0.2% compared to -3.2% previously. Inflation eased in the categories of furnishings, household equipment, and maintenance, reducing to 0.1% from 0.3%, and also in recreation and culture, which fell to 3.9% from 4.3%. In contrast, communication costs decreased more sharply, standing at -7.1% compared to -6.3% prior. On a month-to-month basis, consumer prices increased by 0.3% in July, decelerating from a previous rise of 0.5%.