Inflation in the Czech Republic was 2.7% year-on-year in February, slightly below the January figure. While food and services became more expensive, prices for energy, clothing, and shoes fell. There were particularly steep price increases for milk, eggs, and butter.
Consumer prices rose by 0.2% in February compared to the previous month. This development was influenced in particular by higher prices in the leisure and culture sector. There were also price increases in the area of home furnishings and household appliances, particularly for large household appliances (+1.9%). In the transport sector, prices for fuels and oils rose by 0.6%.
In contrast, the fall in prices for food and non-alcoholic beverages had a downward effect on the overall price level. Prices for pork fell by 4.3%, fruit by 1.5%, butter by 5.3%, poultry meat by 2.0%, and non-alcoholic beverages by 0.7%. In the alcoholic beverages and tobacco sector, wine became 5.8% cheaper, spirits 3.5% cheaper, and beer 1.3% cheaper.
‘Consumer prices rose by 2.7% year-on-year in February. There were price increases in almost all areas of the shopping basket, with the exception of clothing and footwear, whose prices have been falling for five months—by around 2% in February,’ explained Pavla Šedivá, Head of the Consumer Price Statistics Department at the Czech Statistical Office (ČSÚ).
Year-on-Year Price Development
The annual rise in consumer prices slowed by 0.1 percentage points in February compared to January. This was mainly due to developments in the transport sector: prices for fuels and oils fell by 3.9% year-on-year (in January by only 0.4%), partly due to the steep rise in February last year. Food and non-alcoholic beverages again had the greatest impact on price increases. The price of long-life low-fat milk (+12.3%), eggs (+18.6%), butter (+41.6%), and chocolate and chocolate products (+30.5%) rose particularly steeply.
Overall, prices for goods rose by 1.4%, and prices for services by 4.7%.
Harmonised Index of Consumer Prices (HICP)
The Harmonised Index of Consumer Prices (HICP) in the Czech Republic rose by 0.2% in February compared to the previous month and by 2.8% year-on-year (January: 2.9%).
According to preliminary data from Eurostat, the annual inflation rate in the 27 EU member states was 2.8% in January, 0.1 percentage points higher than in December. The highest inflation rate was recorded in Hungary (5.7%), and the lowest in Denmark (1.4%).
