The annual inflation rate in the eurozone in August 2025 was 2.0 percent, the same as in July, while in the entire European Union it remained at 2.4 percent.

Compared with last year, this represents only a slight decline, since August 2024 brought inflation of 2.2 percent in the eurozone and 2.4 percent in the EU, announced by Eurostat.

The lowest annual rates were recorded in Cyprus at 0.0 percent, in France at 0.8 percent, and in Italy at 1.6 percent. At the same time, the highest price growth rates affected Romania at 8.5 percent, Estonia at 6.2 percent, and Croatia at 4.6 percent.

This placed Croatia third among the member states with the most pronounced inflation, significantly above the EU average. Compared with July, inflation fell in as many as nine member states, remained unchanged in four countries, and increased in fourteen.

Croatia was among the countries where prices continued to rise, confirming the continuation of pressure on the cost of living in the domestic economy.

Looking at individual segments, the largest contribution to annual inflation in the eurozone came from services with 1.44 percentage points, followed by food, alcohol and tobacco with 0.62 points, non-energy industrial goods with 0.18 points, while energy had a negative contribution of minus 0.19 points.

The structure of inflation is particularly important for Croatia, where rising food and services prices directly affect households. Although overall European rates are low and stable, differences among countries remain significant.

While Cyprus and France are recording almost negligible price growth, Croatia is joining the group of transition countries with higher inflationary pressures.

Eurostat data confirm that Croatian inflation is more than double the eurozone average, which represents a serious challenge for domestic economic policy.