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FX.co ★ Austria’s Inflation Rate Cools Sharply to 2.0% in January, Nears ECB Target

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typeContent_19130:::2026-02-04T08:00:00

Austria’s Inflation Rate Cools Sharply to 2.0% in January, Nears ECB Target

Austria’s consumer price inflation slowed markedly in January 2026, with the year-over-year Consumer Price Index (CPI) easing to 2.00%, down from 3.76% in December 2025. The latest data, updated on 4 February 2026, indicate a significant cooling in price pressures at the start of the year.

The figures are based on a year-over-year comparison, meaning January’s CPI reflects the change in prices versus January a year earlier, while December’s reading compared prices with December of the previous year. The sharp deceleration brings Austria’s inflation rate much closer to the 2% level generally viewed as consistent with price stability in the euro area.

This pronounced drop in inflation could have important implications for monetary and fiscal planning in Austria, as lower price growth eases pressure on households and may influence expectations for interest-rate policy within the broader European context.

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