Norway experienced a deceleration in consumer price inflation in May to its lowest point in almost three years, while producer prices saw their first increase in sixteen months, according to separate reports from Statistics Norway released on Monday.
The consumer price index rose by 3.0 percent year-over-year in May, compared to the 3.6 percent increase observed in the previous month. Notably, this marks the weakest inflation rate since July 2021, when prices also rose by 3.0 percent.
The annual growth in utility prices slowed significantly to 0.1 percent from April’s 2.0 percent. Similarly, the price growth for food and non-alcoholic beverages moderated to 5.4 percent from 6.8 percent a month earlier.
On a month-to-month basis, consumer prices fell by 0.1 percent in May, following a 0.8 percent rise in April. Core inflation, which excludes energy prices and tax changes, eased to 4.1 percent in May from 4.4 percent in April.
A separate report indicated that producer prices increased by 3.2 percent annually in May, overturning a 4.5 percent decline in the previous month due to a rebound in energy costs. This represents the first increase since January 2023. Prices for energy goods rose by 2.5 percent annually, compared to a 10.6 percent decline in April. Prices in the extraction and related services sector climbed by 5.4 percent, while utility costs dropped by 22.1 percent.
On a monthly basis, producer prices decreased by 0.9 percent in May, reversing a 3.4 percent gain from April.
