What EU country reported the highest annual inflation rate in the EU in August 2025?

Romania reported an annual inflation rate of 8.5% in August 2025, the highest in the European Union, new data from Eurostat has found.

Other EU member states to report a high inflation rate for the period included Estonia (6.2%), Croatia (4.6%), Slovakia (4.4%), Hungary (4.2%) and Latvia (4.2%).

The lowest annual inflation rates, meanwhile, were reported in Cyprus (0.0%), France (0.8%) and Italy (1.6%).

Inflation in the EU

At an EU level, the annual inflation rate stood at 2.4% in August, stable compared to July, while in the euro area, the annual inflation rate was 2.0%, also stable compared to the previous month.

On a sector-by-sector basis, the highest contribution to the annual euro area inflation rate in August came from services (+1.44 percentage points, pp), followed by food, alcohol & tobacco (+0.62 pp), and non-energy industrial goods (+0.18 pp). Energy reported a slight negative inflation rate (-0.19 pp).

Compared to July 2025, the annual inflation rate rose in 14 EU member states, remained stable in four, and fell in nine.

The biggest month-on-month increase in inflation was seen in Romania (2.1%), followed by Belgium (1.5%) and Luxembourg (1.2%).

The biggest decreases, however, were seen in Denmark (-0.7%), Greece (-0.6%), and Sweden, Finland and Lithuania (all -0.3%), Eurostat’s data showed. Read more here.

Monthly Inflation Rate by EU Member State, Sept 2025 (%)