Austria’s inflation rate has fallen to 2.4% in August, according to a flash estimate from Statistik Austria, marking the lowest level since April 2021.
In July, the annual inflation rate stood at 2.9%, with prices in August estimated to have dropped by 0.2% compared to the previous month. Notably, the cost of fuel and heating oil has dropped, helping to bring prices down compared to the previous year.
The harmonised index of consumer prices (HICP), used for comparisons across the EU, was 2.5% in August, based on preliminary estimates. Compared to July, the price level according to the HICP fell by 0.1%, having also stood at 2.9% in July.
“Austria’s inflation is now just 0.4 percentage points off the ECB’s target. In August 2024, inflation dropped to 2.4%, according to initial estimates – the lowest figure since April 2021. Fuel, and to a lesser extent heating oil, are no longer pushing prices up as they did in previous months. Instead, they’re now having a noticeable dampening effect on prices year-on-year,” Statistik Austria Director General Tobias Thomas said in a statement.