Hungary Inflation Rate Lowest Since 2016

The annual inflation rate in Hungary slowed to 1.2% in July 2026 from 1.7% in the previous month, marking the lowest reading since November 2016. The slowdown was largely driven by declines in prices for food products (-1.1% vs 0.2%) and household energy (-4.3% vs -2.3% in June). At the same time, price growth softened alcoholic beverages, tobacco products (2.9% vs 3.1%), clothing items (0.6% vs 1.4%), consumer durables (1.8% vs 1.9%), and other goods, including fuels (0.3% vs 1.1%). On the other hand, inflation accelerated for services, climbing 4.7% from 4% in the prior month. On a monthly basis, consumer prices fell by 0.1%, after remaining unchanged for the past two months. Meanwhile, the annual core inflation rate, which excludes volatile items such as food and energy, edged up to 1.9% in July from 2% in the preceding period.

The annual inflation rate in Hungary edged down to 1.7% in June 2026 from 1.8% in the previous month, coming in below market expectations of 1.8%. The slowdown was driven by softer price increases for food (0.2% vs 0.5% in May), alcoholic beverages and tobacco products (3.1% vs 3.3%), consumer durables (1.9% vs 2.4%), and services (4.0% vs 4.3%). At the same time, household energy costs continued to decline, falling 2.3% after a 2.0% drop in the previous month. In contrast, inflation accelerated slightly for clothing items (1.4% vs 1.1%) and other goods, including fuels (1.1% vs 0.4%). On a monthly basis, consumer prices remained unchanged compared from the preceding period. Meanwhile, the annual core inflation rate, which excludes volatile items such as food and energy, stood at 2% in June, unchanged from the prior month.

The annual inflation rate in Hungary eased to 1.8% in May 2026 from a three-month high of 2.1% in the previous month, falling short of market expectations of 2.3%. The slowdown was due largely by softer price increases in food (0.5% vs 1.5% in April), alcoholic beverages, tobacco products (3.3% vs 4.1%), and consumer durables (2.4% vs 2.7%). At the same time, costs for household energy declined by 2% after falling 0.4% in the prior month. On the other hand, inflation accelerated for clothing (1.1% vs 0.8%), other goods, including other items and fuels (0.4% vs 0.1%), and services (4.3% vs 4%). On a monthly basis, consumer prices were unchanged in May, after rising 0.4% in the preceding period. Meanwhile, the annual core inflation rate, which excludes volatile items such as food and energy, slowed to 2% from 2.2% in April, below market forecasts of 2.3%.