The annual inflation rate in the Euro Area has slowed down to 1.9 per cent in May 2025 from 2.2 per cent in the previous month of April.

A year ago, the inflation rate was 2.6 per cent. At the same time, the annual inflation in the European Union fell to 2.2 per cent in May 2025, from the 2.4 per cent  posted in April. A year earlier, the rate was 2.7 per cent.

Cyprus had the lowest yearly rate (0.4 per cent), followed by France (0.6 per cent) and Ireland (1.4 per cent). The highest annual rates were found in Romania (5.4 per cent), Estonia (4.6 per cent) and Hungary (4.5 per cent). 

Compared to April 2025, annual inflation declined in fourteen Member States, held stable in one, and increased in twelve. 

In May 2025, services contributed the most to the annual euro area inflation rate (+1. 47 percentage points), followed by food, alcohol, and tobacco (+0.62 pp), non-energy industrial goods (+0.16 pp) and energy (-0.34 pp).