Nicosia: Cyprus's annual inflation rate surged to 5.2% in August 2026, as per a flash estimate released by Eurostat. This marks an increase from 4.4% in July, with the monthly inflation rate standing at 1.5%.
According to Cyprus News Agency, Cyprus recorded the second-highest inflation rate in the eurozone. The inflation rate has been on a steady rise over the past year, starting from zero in August 2025 and gradually increasing through the months: 1.5% in March, 3.0% in April, 3.5% in May, 4.1% in June, and 4.4% in July, culminating at 5.2% in August 2026.
At the eurozone level, the annual inflation rate is anticipated to reach 3.3% in August, an increase from 2.9% in July, as reported by Eurostat, the statistical office of the European Union. Energy prices are expected to contribute significantly to this rise, with an estimated annual rate of 14.3% in August, compared to 10.3% in July. Services are projected at 3.0%, a slight dip from 3.3% in July, while non-energy industrial goods are expected to rise to 1.2% from 0.9% in July. Food, alcohol, and tobacco are predicted to remain stable at 1.2%.
In the eurozone, Lithuania registered the highest inflation rate in August at 5.8%, followed by Cyprus at 5.2%.