Annual inflation in the euro area declined to 2.2% in March 2025, down from 2.3% in February, according to figures released today by Eurostat, the statistical office of the European Union. This compares to 2.4% in March 2024. Across the broader European Union (EU), inflation also decreased to 2.5%, down from 2.7% in February and slightly below the 2.6% recorded a year earlier.
The latest figures confirm the flash estimate published on 1 April 2025, which projected euro area inflation at 2.2% for the month.
Among EU Member States, France (0.9%), Denmark (1.4%), and Luxembourg (1.5%) registered the lowest annual inflation rates. In contrast, Romania (5.1%), Hungary (4.8%), and Poland (4.4%) recorded the highest. Compared with February 2025, annual inflation fell in sixteen Member States, remained stable in one, and rose in ten.
Breaking down the components of inflation, services made the largest contribution to the euro area's annual inflation rate in March, adding +1.56 percentage points (pp). This was followed by food, alcohol and tobacco (+0.57 pp), non-energy industrial goods (+0.16 pp), while energy contributed negatively (-0.10 pp).
In terms of monthly inflation, prices rose by 0.6% in the euro area and 0.5% in the EU from February to March 2025.
The data highlights shifting dynamics in price drivers. While energy prices fell by 1.0% year-on-year, their monthly change stood at -1.4%, reflecting continued downward pressure. Meanwhile, unprocessed food prices rose significantly by 4.2% annually, up from 3.0% in February.
Looking at broader aggregates: The inflation rate excluding energy stood at 2.5%.
Eurostat's next flash estimate, covering April 2025, is scheduled for 2 May 2025.
More information:
Eurostat
[email protected]
www.ec.europa.eu