Cyprus Surpasses Euro Area Inflation Rate with 5.2%

Cyprus has recorded the highest inflation rate in the euro area after Romania and Lithuania. According to Eurostat, Cyprus' annual consumer price growth accelerated to 5.2% from 4.4% in July.

Prices in Cyprus increased by 1.5% between July and August, the strongest monthly rise among the figures provided in the Eurostat data. This marked another sharp increase for Cyprus, where inflation had stood at just 0.0% a year earlier.

The acceleration in Cyprus came as inflation also picked up across the wider euro area and European Union. Euro area annual inflation reached 3.2% in August, while EU annual inflation also reached 3.2%. Both the euro area and EU recorded a monthly inflation rate of 0.4% in August.