TALLINN, June 5 (Xinhua) -- Estonia's consumer price index (CPI) increased by 3.7 percent year on year in May, according to data released by Statistics Estonia on Friday.
The prices of goods rose by 3.1 percent while those of services increased by 4.6 percent in May this year compared with the same month in 2025.
The main drivers of the hike were transport costs which went up 10.4 percent, and housing-related expenses which rose 5.4 percent. Due to the Middle East crisis, petrol price climbed by 14.3 percent and diesel price rose by 32.3 percent year on year.
In addition, food and non-alcoholic beverage prices edged up 0.9 percent, while those of clothing and footwear fell 3.9 percent.
Raul Eamets, economist of Bigbank, told local media that the effects of the Iran war are now reaching Estonia, with transport costs beginning to filter into other goods and services. According to the forecast of the European Commission, Estonia's inflation will reach 4.4 percent in 2026. ■