Croatia reported the highest annual inflation rate in the euro area in March 2026, of 4.7%, according to the latest flash estimates from Eurostat.
Other countries to report a high annual inflation rate for the month included Lithuania (4.5%) and Luxembourg (3.8%), while at the other end of the scale, the lowest annual inflation rates were recorded in Italy (1.5%), Cyprus (1.5%) and France (1.9%).
Inflation in the euro area
Annual inflation in the euro area reached 2.5% in March 2026, according to the flash estimates. This marks an increase from 1.9% recorded in February.
The change was driven primarily by developments in the energy sector. Energy prices showed an annual increase of 4.9% in March, a reversal from the decline of 3.1% seen in February.
Other components of inflation presented more stable or declining trends, Eurostat noted. Services inflation stood at at 3.2%, slightly lower than the 3.4% recorded the previous month. Prices for food, alcohol and tobacco increased by 2.4%, compared with 2.5% in February. Non-energy industrial goods showed a lower annual rate of 0.5%, down from 0.7%.
Month-on-month inflation for the euro area came in at 1.2% in March, reflecting short-term price increases compared with February. Energy again played a key role in this monthly movement, with a notable increase compared with the previous month, according to Eurostat. Read more here.
Annual Inflation Rates by EU Member State, March 2026 (%)
| Country | Inflation Rate (%) |
|---|---|
| Belgium | 2.0 |
| Bulgaria | 2.6 |
| Germany | 2.8 |
| Estonia | 3.3 |
| Ireland | 3.6 |
| Greece | 3.3 |
| Spain | 3.3 |
| France | 1.9 |
| Croatia | 4.7 |
| Italy | 1.5 |
| Cyprus | 1.5 |
| Latvia | 3.6 |
| Lithuania | 4.5 |
| Luxembourg | 3.8 |
| Malta | 2.3 |
| Netherlands | 2.6 |
| Austria | 3.1 |
| Portugal | 2.7 |
| Slovenia | 2.4 |
| Slovakia | 3.7 |
| Finland | 2.4 |
