FX.co ★ Bosnia Inflation Rate Climbs to 20-Month High

In May 2025, Bosnia and Herzegovina witnessed an increase in its annual inflation rate to 3.7%, marking the highest level since September 2023, up from 3.4% the previous month. This rise was primarily driven by escalating costs in food and non-alcoholic beverages, which saw inflation soar to 9.9%, a peak not seen since June 2023, compared to 8.9% in April. Additionally, the cost of furnishings and household equipment rebounded, moving to an inflation rate of 0.6% from a previous decline of -0.6%. Inflationary trends were also noticeable in other sectors: recreation and culture rose to 4.4% from 3.3%, restaurants and hotels increased to 6.2% from 5.8%, and health costs edged up to 6.4% from 6.3%. Conversely, there was a significant easing of inflation in housing and utilities, dropping to 0.2% from 1.0%. Transport prices continued their downward trend, decreasing further to -6.4% from -5.6%. On a month-over-month basis, consumer prices saw a 0.2% rise, following a 0.3% increase in April.