10.3 percent year on year – this is the amount of HICP inflation in Poland in July this year, according to the latest Eurostat data. Just to clarify, HICP inflation is measured on the basis of a slightly different basket of goods and services than CPI inflation, i.e. the one calculated on the basis of the GUS methodology (in July it amounted to 10.8% year on year).
The advantage of HICP inflation is that it is calculated in the same way for all EU countries, so you can compare readings between them. However, this should be done carefully, because inflation readings do not depend only on the actions of the government or the central bank, but also on the level of economic development of a given country or its energy mix.
Inflation in Poland is almost the highest in the EU
HICP inflation in Poland is falling – since the peak in February this year (17.2 percent year on year) by almost 7 percentage points. Unfortunately, it still remains one of the highest in the EU. In July, according to Eurostat data, only Hungary (17.5%) had a higher reading.
Ex aequo with Poland is Slovakia with inflation of 10.3 percent. Every year. Only the Czech Republic has a double-digit inflation (10.2%). Belgium (1.7%), Luxembourg (2%) and Spain (2.1%) have the lowest inflation in the EU.
On average across the European Union, inflation in July amounted to 6.1 percent. year on year, in the euro area 5.3 percent.
Inflation is falling not only in Poland, but in most EU countries (19 out of 27). In July, annual inflation was higher than in June in Finland, Luxembourg, Spain, Greece, Denmark, Bulgaria and Belgium (and Sweden unchanged). This is partly due to the base effect from last year. As for the month-to-month price dynamics (ie how the average price level changed between June this year and July this year), it did not change in the entire EU, and fell by 0.1% in the euro zone. In Poland, it fell by 0.3 percent.
According to the May forecast of the European Commission, the average annual inflation in 2023 in Poland will be the third highest in the EU, after Hungary and the Czech Republic, and the highest in the entire EU in 2024.
Source: Gazeta
At 247 News Agency, Jason has covered a wide range of topics, from politics and business to crime and entertainment. He is highly respected by his colleagues and peers, and his articles are widely read and shared. With a passion for news and a commitment to accuracy, Jason Root is a valuable asset to the 247 News Agency team.
