Estonia’s annual inflation rate rose to 4.2% in October 2026, up from 3.5% in September and reaching its highest level since November 2025. The acceleration was largely driven by increases in transport and housing costs, which climbed by 13.9% and 7.5%, respectively. Transport inflation was propelled by steep rises in fuel prices, with gasoline up 38.2% and diesel up 59.7%. Housing costs increased due to higher prices for piped gas, wood fuel, and waste collection services.
Food inflation also turned positive, with prices up 0.7% after a decline in September, mainly reflecting higher prices for vegetables, prepared foods, and soft drinks. Additional upward pressure came from alcoholic beverages (6%), healthcare (3.2%), and miscellaneous goods and services (3.8%). Offsetting these gains to some extent were lower costs for education (-8.4%) and for insurance and financial services (-3.1%).
On a monthly basis, consumer prices rose by 0.6% in October, following a 0.4% increase in September. The September reading had been the fastest monthly gain in eight months.