Cyprus Feb. consumer prices rise 0.06% y/y

Cyprus Feb. consumer prices rise 0.06% y/y

Cyprus’ annual inflation rate rose to 1.9% in February 2025, as the Consumer Price Index (CPI) increased by 0.38 points to 117.11, up from 116.73 in January 2025 according to official data. This marks a 0.33% monthly increase, with transport prices rising 1.3% compared to January 2025, driven primarily by higher fuel costs. On an annual basis, transport contributed 0.62 points to inflation, reflecting a 3.7% rise, while food and non-alcoholic beverages added 0.52 points, with a 3.5% annual increase as reported by the government.

Agricultural goods saw the largest annual price surge at 7.0%, while clothing and footwear recorded the most significant decline, down 5.1% year-on-year, offsetting part of the inflationary pressure. Other notable contributors included education (3.7%) and restaurants and hotels (3.5%) according to Cyprus Mail. Conversely, petroleum products and catering services had the largest positive monthly impacts, with fresh vegetables adding 0.25 points to the CPI change compared to January 2025 as the CPI data shows.

The CPI data, collected across urban districts of Nicosia, Limassol, Larnaca, and Paphos, reflects weighted price changes for 805 goods and services. Seasonal items like vegetables and fuels are monitored weekly according to government reports. While inflation remains elevated, the decline in clothing and footwear prices and modest monthly gains in non-essential categories suggest a mixed inflationary landscape. The data underscores the influence of energy and food prices on Cyprus’ inflation trajectory, with policy makers likely monitoring transport and agricultural cost dynamics closely.