Portugal’s annual inflation rate accelerated to 3.8% in October 2026, its highest level since May 2023, up from 3.6% in September, according to a preliminary estimate. Core inflation, which excludes unprocessed food and energy, is projected to edge up to 2.8% from 2.7%. Energy inflation is also expected to quicken, reaching 17.4% from 15.3%, the highest rate since December 2022, while inflation for unprocessed food held steady at 3.7%. Meanwhile, the annual EU-harmonised inflation rate rose to 3.9% from 3.6%, its highest level since May 2024, remaining well above the ECB’s 2% target. On a monthly basis, consumer prices increased by 0.2%, easing from a 1.2% rise in September.