Bulgaria continues to be among the countries with the highest inflation within the eurozone. According to the flash data released by the National Statistical Institute (NSI), annual inflation for August stands at 5.1%. At the same time, Eurostat presented a comparative analysis for other countries, which shows that Bulgaria ranks third in this indicator. Only Cyprus, at 5.2%, and Lithuania, at 5.8% inflation, are ahead of us.

Preliminary data from Eurostat indicate that overall inflation in the eurozone for August is projected to be 3.3%, which represents an increase compared to the 2.9% levels in July. Energy sources—electricity, gas, and fuels—are cited as the leading factor for the price hikes, having recorded an increase of 14.3%, up from 10.3% in July. They are followed by services (3.0% compared to 3.3% in July), non-energy industrial goods (1.2% compared to 0.9%), and the food, alcohol, and tobacco category (1.2%, unchanged from July). In countries with large economies like Germany and France, inflation is 2.9% and 2.7% respectively, while the lowest price increases were recorded in Estonia (1.3%) and Malta (1.9%).

At the national level, NSI statistics highlight a significant rise in prices in the transport sector during August – an expected increase of 6.3% compared to the previous month. Costs for restaurants and hotels, as well as for alcoholic beverages and tobacco products, are expected to have grown by 0.8%. Despite the general rise in prices, a decrease is also noted in some consumer sectors:

  • food products and non-alcoholic beverages – a decrease of 0.3%;
  • healthcare – a drop of 0.5%;
  • clothing and footwear – average price decrease of 2% compared to July.

Prices of goods in the small consumer basket show a slight monthly decline of 0.2% compared to July, but on an annual basis, a growth of 1.6% has been recorded. It is important to clarify that the data presented by the NSI are preliminary and the final figures for August inflation are yet to be published.