Austria's consumer price inflation moderated less than anticipated in May, reaching its lowest level in thirty-two months, according to the latest data released by Statistics Austria on Tuesday.
The consumer price index increased by 3.4 percent year-over-year in May, marginally down from the 3.5 percent rise observed in April. The preliminary report had indicated an inflation rate of 3.3 percent.
Nonetheless, the most recent inflation figures represent the weakest growth since September 2021, during which prices had risen by 3.3 percent.
Annual growth in utility costs decelerated to 2.6 percent from 3.3 percent in April, primarily due to a slower increase in housing expenses. Similarly, the price growth for food and beverages softened to 2.8 percent from 3.2 percent in the previous month.
Overall inflation in May was chiefly driven by a substantial 7.5 percent surge in prices at restaurants and hotels, which was significantly higher than the general inflation rate.
On a monthly basis, consumer prices inched up by 0.1 percent in May, a revision from the flat change initially estimated.
The EU's harmonized index of consumer prices (HICP) also grew at a slightly slower rate of 3.3 percent compared to the 3.4 percent increase in April, as previously estimated. On a monthly scale, the HICP edged up by 0.1 percent.
