Inflation in Austria is indeed falling – but not to the extent predicted by the flash estimate…
“Price increases have decreased significantly, especially in residential construction,” explains Tobias Thomas, Managing Director of Statistics Austria. “Prices for food also rose below average in May, but in the catering industry they rose more than twice as much as general inflation.”
Overall, inflation fell to 3.4 percent in May, after 3.5 percent in April. Statistics Netherlands originally expected inflation to be 3.3 percent on an annual basis at the end of May. Compared to April this year, prices rose by 0.1 percent, according to a report from Statistics Austria.
However, within a year, prices in restaurants and hotels rose by an average of 7.5 percent. They influenced the inflation rate by 0.99 percentage points and were again the largest determining factor in prices. Catering services increased in price by 7.6 percent and accommodation services by 6.6 percent.
Housing is becoming cheaper again
Price increases for housing, water and energy fell sharply: compared to May 2023, prices rose by 2.6 percent. For April, Statistics Austria recorded an increase of 3.3 percent.
Consumers had to pay an average of 2.8 percent more for food and non-alcoholic drinks than a year ago. For April, Statistics Austria reported an increase of 3.2 percent.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
