Cyprus annual inflation remains at 5.2% in September 2026

In September 2026, Cyprus recorded an annual inflation rate of 5.2%, remaining unchanged from the previous month and marking the fourth-highest rate in the European Union. According to Eurostat and the local Statistical Service, this rate follows a period of steady monthly increases since April 2026. While the annual rate remained high, the Harmonized Index of Consumer Prices (HICP) saw a slight monthly decline of 0.4% compared to August 2026.

The annual inflation increase was primarily driven by a significant 20.2% surge in energy costs compared to September 2025. Other major contributors to household budget pressures included transport (up 13.3%), restaurants and hotels (up 11.2%), and housing, water, electricity, gas, and other fuels (up 9.5%). Conversely, clothing and footwear saw a notable annual decrease of 10.4%. For the first nine months of 2026, the cumulative inflation index increased by 3.2% compared to the same period in 2025.

Cyprus currently trails only Romania (6.5%), Lithuania (6.1%), and Bulgaria (5.6%) in terms of inflation levels within the EU. While the national trend showed a year-on-year increase, the Eurozone average for September reached 3.8%. Authorities continue to monitor these fluctuations, with the latest data highlighting the persistent impact of global energy price volatility on the local economy.