FX.co ★ Luxembourg Inflation Ticks Up to 3.1% in December

In December 2025, Luxembourg experienced an uptick in its annual inflation rate, rising to 3.1% from November's 3%. This figure represents the highest inflation reading since March 2024. The increase was mainly fueled by rising costs in sectors such as food and non-alcoholic beverages, which jumped to 3.43% from 2.78%, as well as housing and utilities, which increased to 7.84% from 7.44%. Other contributors to the inflation rise were miscellaneous goods and services, climbing to 2.71% from 1.78%, and the restaurant and hotel sector, inching up to 2.97% from 2.84%. On the flip side, transport saw a deceleration in price growth to 1.36% from 2.26%, alongside furnishings and household equipment, which fell to 0.6% from 1.52%, and recreation and culture, easing to 2.58% from 3.95%. On a monthly scale, consumer prices showed a slight increase of 0.1% in December, following a 0.2% decline over the prior two months. The core annual inflation rate, excluding volatile items such as food and energy, climbed to 2.9% in December from November's 2.6%.