Inflation in Croatia highest in Euro Area in March

Split

The latest data from Eurostat, the statistical office of the European Union, shows that Croatia had the highest inflation rate in the Euro Area in March 2025, despite a slight drop across the board.

According to the flash estimate, annual inflation is expected to be 2.2%, down from 2.3% in February.

What’s Driving Inflation?

Among the key components of euro area inflation, services had the highest annual rate in March at 3.4%, though it was lower than February’s 3.7%.

Food, alcohol, and tobacco followed at 2.9%, up from 2.7% in February.

Non-energy industrial goods remained steady at 0.6%, while energy prices fell by 0.7%, reversing a small increase of 0.2% in February.

Croatia’s Inflation Among Highest in Euro Area

Croatia recorded the highest inflation rate in the euro area in March, at 4.3%. Estonia and Slovakia also had the same inflation rate.

For Croatia, inflation had previously peaked at 5.4% in December 2023 and stood at 5% in January 2025.

Belgium, Latvia, and Lithuania followed with an inflation rate of 3.6%, while the Netherlands recorded 3.4%. Greece and Austria both saw inflation at 3.1%.

Where Was Inflation the Lowest?

At the other end of the scale, France had the lowest inflation rate in March at just 0.9%. Luxembourg followed with 1.5%, while Ireland recorded 1.8%. Finland and Portugal both had an inflation rate of 1.9%.

How Inflation is Measured

The euro area inflation flash estimate is issued at the end of each reference month. A full set of harmonised consumer price indices (HICP) for the euro area, EU, and member states is released around the middle of the following month.

Annual inflation measures the change in the price level of consumer goods and services compared to the same month the previous year. Monthly inflation reflects the change in prices from the previous month.