Hungary’s annual inflation at 4.3% in July, driven by rising food and energy prices

Economy

In July, consumer prices were on average 4.3% higher than a year earlier. Compared to June, prices rose by an average of 0.4%, the Central Statistical Office (KSH) reported on Friday.

Compared to July 2024, food prices increased by 5.9% (4.6% excluding catering services). Within this category, chocolate and cocoa rose by 20.4%, coffee by 19.6%, seasonal foods (potatoes, fresh vegetables, and fresh domestic and tropical fruits) by 18.1% – within this, fresh domestic and tropical fruits by 32.0% and peaches by 85.4% – eggs by 17.7%, confectionery products by 13.8%, fruit and vegetable juices by 13.2%, cooking oil by 10.8%, buffet items by 10.2%, butter and butter cream by 8.2%, pastries and soft drinks both by 7.0%. Prices decreased for margarine (-30.1%), flour (-10.4%), sugar (-9.0%), bologna and sausages (-8.6%), dairy products (-5.6%), and pork (-4.2%).

Household energy prices increased by 10.9% on average, with piped gas up 23.1% and bottled gas up 4.6%.

Alcoholic beverages and tobacco rose in price by 6.5%, with tobacco alone up 7.8%.

Service prices increased by 5.3%, including personal care services (+10.1%), sports and museum entry fees and home repair/maintenance (+10.0%), vehicle repair/maintenance (+9.8%), rent (+9.5%), and healthcare services (+8.3%).

Durable goods prices rose by 2.1%, including jewelry (+22.5%), living room furniture (+4.4%), kitchen and other furniture (+3.8%), and new passenger cars (+2.2%). Vehicle fuel prices dropped by 4.3%, while medicines and medical goods increased by 4.8%.

Within a single month, compared to June, consumer prices increased by 0.4% on average. Food prices rose by 0.3% (0.4% excluding catering). Fresh domestic and tropical fruits increased by 8.4%, confectionery products by 5.8%, chocolate and cocoa by 2.4%, poultry meat and coffee by 1.8% each, butter and butter cream by 1.6%, sugar by 1.1%, soft drinks by 0.8%, and dairy products by 0.7%. Prices fell for eggs (-2.6%), pastries (-1.7%), bologna and sausages (-1.1%), cooking oil (-1.1%), bread (-1.0%), milk (-0.8%), and flour (-0.6%).

The largest increase was in household energy prices (+1.2%), with piped gas up 2.3% and bottled gas down 1.1%. Service prices increased by 1.0%, including holiday services (+8.9%) and sports and museum entry fees (+1.7%). Vehicle fuel prices rose by 0.3%, while medicines and medical goods fell by 0.3%, according to the KSH.

(Source: MTI)

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