Annual Inflation Stable At 1.3% In Euro Area

Euro area annual inflation was 1.3% in July 2017, stable compared with June 2017. In July 2016 the rate was 0.2%. European Union annual inflation was 1.5% in July 2017, also stable compared to June 2017. A year earlier the rate was 0.2%. These figures come from Eurostat, the statistical office of the European Union.

The lowest annual rates were registered in Ireland (-0.2%), Cyprus (-0.1%), Bulgaria and Finland (both 0.6%). The highest annual rates were recorded in Lithuania (4.1%), Estonia (3.9%), Latvia and the United Kingdom (both 2.6%). Compared with June 2017, annual inflation fell in four Member States, remained stable in eight and rose in sixteen.

The largest upward impacts to the euro area annual inflation came from accommodation services (+0.10 percentage points), package holidays (+0.06 pp) and air transport (+0.05 pp), while telecommunication (-0.11 pp), vegetables (-0.05 pp) and fruit (-0.04 pp) had the biggest downward impacts.

The euro area consists of Belgium, Germany, Estonia, Ireland, Greece, Spain, France, Italy, Cyprus, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Austria, Portugal, Slovenia, Slovakia and Finland.

The European Union includes Belgium, Bulgaria, the Czech Republic, Denmark, Germany, Estonia, Ireland, Greece, Spain, France, Croatia, Italy, Cyprus, Latvia, Lithuania, Luxembourg, Hungary, Malta, the Netherlands, Austria, Poland, Portugal, Romania, Slovenia, Slovakia, Finland, Sweden and the United Kingdom.

The euro area and European Union data refer to the respective country compositions at a specific point in time. New Member States are integrated into the aggregates using a chain index formula.