In a significant development for Europe's second-largest economy, France's Consumer Price Index (CPI) has exhibited a deceleration, with inflation slowing to 0.7% year-over-year in May 2025. This marks a slight reduction from 0.8% in April 2025, according to the latest data updated on 27 May 2025.
The French CPI is a key indicator measuring the change in the average price level of a basket of goods and services purchased by households. The drop to 0.7% in May indicates a modest cooling of inflationary pressures, offering some relief to consumers grappling with the rising costs of living over the past year.
Economists are closely monitoring this trend, as persistent inflationary dynamics have been a cause for concern. The latest figures suggest that inflation in France is continuing its gradual decline, potentially signaling a shift in economic momentum and offering policymakers crucial data as they adjust economic strategies to stimulate growth while managing price stability.
