In May 2024, the annual inflation rate in the Czech Republic decreased to 2.6%, down from 2.9% in April, which was a four-month high, and slightly below the market forecast of 2.8%. There was a slowdown in the price increases for alcoholic beverages and tobacco (6.2% compared to 7.4% in April), clothing and footwear (3.3% compared to 3.8%), and health (4% compared to 4.2%). Moreover, costs dropped for food and non-alcoholic beverages (-3.7% compared to -2.7%) and furnishings, household equipment, and routine household maintenance (-0.5% compared to 0.2%). Conversely, inflation rose for transport (5.3% compared to 4.7%) and miscellaneous goods and services (3.2% compared to 2.8%), while the education sector saw no change for the fourth month in a row (remaining at 6.6%). On a monthly basis, consumer prices remained flat after a 0.7% increase in the previous month.

Prepared by team CzechTrade Israel

Source: tradingeconomics.com