FX.co ★ Croatia Inflation Rate Confirmed at 8-Month Low

Croatia experienced a decline in its annual inflation rate to 3.3% in December 2025, marking the lowest point in eight months, slightly down from 3.8% recorded in November. This figure aligns with initial estimates. The reduction was primarily influenced by decreased price pressures across several sectors: food and non-alcoholic beverages witnessed a decrease to 2.8% from 4.0%, housing and utilities dropped to 8.4% from 8.8%, recreation and culture fell to 3.4% from 3.7%, health decreased to 4.3% from 4.7%, and alcoholic beverages and tobacco decelerated to 4.6% from 5.0%. Additionally, transportation costs saw a steeper decline of -1.8% compared to -0.1% previously recorded. However, there was an uptick in inflation rates for restaurants and hotels, which increased to 7.6% from 7.3%, and communication, which rose to 5.3% from 5.1%. The inflation rate for furnishings remained stable at 0.4%. Deflation in clothing and footwear eased to -1.0% from -2.5%, and in education, it improved slightly to -1.2% from -1.3%. On a monthly basis, consumer prices decreased by 0.4%, noting the first reduction since February 2025. In terms of the EU-harmonised index, the annual inflation rate declined to 3.8% from 4.3%.