BUDAPEST, Aug. 8 (Xinhua) -- Hungary's consumer price index rose by 4.3 percent year-on-year in July, down from 4.6 percent in June, the Hungarian Central Statistical Office (KSH) said Friday. On a monthly basis, prices increased by 0.4 percent.
Food prices were 5.9 percent higher than in July 2024, with particularly steep rises for chocolate and cocoa (20.4 percent), coffee (19.6 percent), and seasonal produce such as peaches (85.4 percent) and other fresh fruits (32.0 percent).
Energy costs rose 10.9 percent, driven by a 23.1 percent jump in natural gas prices. Service prices climbed 5.3 percent, while motor fuel prices fell 4.3 percent.
The Ministry for National Economy attributed the rise in food inflation mainly to weather-related supply disruptions affecting fresh fruit and vegetables. It said the government continues to monitor cross-pricing practices among companies subject to retail margin cuts and is prepared to act against violations.
In a statement sent following the publication of the KSH report, the ministry reaffirmed its commitment to "protecting families and pensioners," adding that price-reduction measures have supported household consumption and aim to boost economic growth through lower prices.
Analyst Janos Nagy of Erste Bank described the inflation picture as "mixed," noting that forint stability, a looser labor market, and slower wage growth should support disinflation in the coming months. He warned, however, that the timing of lifting retail margin and price-hike restrictions remains uncertain.
Nagy expects annual inflation to remain between 4 and 5 percent for the rest of 2025, averaging 4.7 percent for the year, way above the 3.0 percent threshold set by the Hungarian National Bank. ■
