FX.co ★ Austria Inflation Hits 15-Month High

Austria's annual inflation rate is anticipated to climb to 3.5% in July 2025, reaching the highest level since April of the previous year, up from 3.3% in the month prior, according to preliminary estimates. This rise is largely due to the growth in industrial goods, which experienced a 1.4% increase compared to a 1.0% gain in June. Specifically, clothing had a notably reduced dampening effect on overall inflation year-on-year. Furthermore, energy prices saw an increase of 4.3%, up from 3.5% in June. The influence of gas and heating oil on prices was considerably less subdued in July compared to June. The services sector maintained a steady inflation rate of 4.5%, remaining the largest contributor to overall inflation. Similarly, price hikes in the food, tobacco, and alcohol sector continued to be robust at 4.4%. According to Thomas Burg, Director General of Statistics Austria, on a monthly scale, consumer prices rose by 0.2% in July, decelerating from a 0.5% increase in the previous period.