Austrian inflation rises to 17-month high in August

Consumer price inflation in Austria increased to the highest level in nearly one-and-a-half years in August, a flash estimate from Statistics Austria showed on Tuesday.

The consumer price index climbed 4.1% year-over-year, faster than the 3.6% increase seen in July and the highest inflation rate since March 2024.

Moreover, the inflation rate is well above the European Central Bank's stability target of 2.0%.

The rise in inflation was mainly driven by a 5.9% rise in energy costs, as fuels had a less dampening effect on prices than recently, and also electricity prices continued to rise.

Prices for food, tobacco, and alcohol grew 5% annually in August, while costs for services were 4.7% higher.

On a monthly basis, consumer prices moved up 0.2%.

The EU measure of the harmonized index of consumer prices, or HICP, also rose at a faster rate of 4.1% versus a 3.7% increase in July. Monthly, the HICP increased 0.3%.