Inflation in July Slowed to 7.3 Percent

The inflation rate in Croatia measured by the consumer price index slowed to 7.3 percent year-on-year in July, the Croatian Bureau of Statistics (DZS) announced on Thursday, marking the eighth consecutive month of slowing inflation and the lowest inflation rate since March of last year.

The DZS published the second estimate of the consumer price index, according to which the inflation rate in July was 7.3 percent compared to July 2022, while it was 0.2 percent higher compared to the previous month, June of this year.

According to the first estimate by the DZS, published on July 31, the inflation rate was 7.4 percent compared to July 2022, while it was 0.3 percent compared to June of this year.

The annual inflation rate thus decreased for the eighth consecutive month after reaching a record 13.5 percent in November last year. In December, the growth slowed to 13.1 percent, in January inflation was 12.7 percent, in February 12 percent, in March 10.7 percent, in April 8.9 percent, in May 7.9 percent, and in June 7.6 percent.

When observed by the main components of the index, the estimated annual inflation rate for the group including food, beverages, and tobacco was 11.6 percent, for industrial non-food products excluding energy 8.1 percent, for services 7.7 percent, while energy recorded a decrease of 1.8 percent, as stated in the DZS announcement.

On a monthly basis, compared to June 2023, prices in the categories of services and energy increased by 1.7 percent each, and in the category of food, beverages, and tobacco by 0.43 percent. At the same time, according to the second estimate, prices of industrial non-food products excluding energy fell by 2.4 percent.

Prices of goods and services for personal consumption measured by the harmonized consumer price index in July 2023 compared to July 2022 were on average 8 percent higher, while compared to June 2023, they increased on average by 1.1 percent.