FX.co ★ Czech Republic Inflation Slows in August

The annual inflation rate in the Czech Republic moderated to 2.5% in August 2025, a slight decrease from July's 2.7% and aligning with market expectations, according to preliminary data. This deceleration was attributed primarily to more modest price hikes in food, alcohol, and tobacco sectors (4% compared to July's 4.9%), as well as in services (4.7% down from 4.8%) and goods (1.1% against 1.4%). Furthermore, energy costs persisted in their downward trend, decreasing by 4.4% compared to a 4.6% drop previously recorded. On a month-over-month basis, consumer prices reported a 0.1% increase in August, slowing from a 0.5% rise registered in the prior month.