FX.co ★ France Inflation Rate Confirmed at 1.2%

In September 2025, France experienced an increase in the annual inflation rate, which rose to 1.2%, marking the highest rate in eight months and aligning with the preliminary estimates. This marks an uptick from the 0.9% rate recorded in August. Significant contributing factors included accelerated price increases in the services sector, climbing to 2.4% from 2.1%, driven primarily by healthcare, which rose to 2.6% from 1.6%, and communication services, which saw a less drastic decrease at -1.4% compared to -10.2%. Food prices also saw an increase, rising to 1.7% from 1.6%, while tobacco witnessed a slight increase to 4.1% from 4%. The decline in energy prices was less pronounced, easing to -4.4% from -6.2%, as petroleum product prices increased slightly by 0.2% from a previous -3.6%. Notably, the decline in gasoline prices slowed to -0.4% from -5.1%, and for liquid fuels, it was -2.7% from -3.4%, while diesel prices rebounded by 0.7% from a previous drop of -2.9%. In contrast, the decrease in prices of manufactured goods deepened slightly, moving to -0.4% from -0.3%. Additionally, the annual core inflation ascended to 1.3% from the earlier 1.2%. Month-over-month, the Consumer Price Index (CPI) declined by 1%, the most significant drop in a year, largely attributed to the seasonal decrease in service prices, which fell 1.9% after a previous rise of 0.2%, particularly impacting accommodation and transportation services.