Overview

• The official May inflation rate was revised up to 2%, marking a third straight month of decline and the lowest reading since October 2024.
• Renewable power output drove electricity costs down and fuel prices also eased year on year, applying downward pressure on the headline rate.
• Tourism-related services such as leisure and air travel became cheaper compared with last May, further moderating overall price growth.
• Food inflation jumped to 2.5%, propelled by a 7% monthly rise in fruit prices and steep annual increases in chocolate (25.1%) and coffee (19.8%).
• Unions pointed out that the 2% rate aligns with the ECB’s reference target and said it creates room for potential salary increases.