Annual inflation in the euro area is expected to remain stable at 5.3% in August 2023, compared with July, according to Eurostat’s first estimate released today.

Looking at the main components of inflation in the euro area, food, alcohol and tobacco are expected to have the highest annual rate in August (9.8%, compared to 10.8% in July), followed by services (5.5%, compared to 5.6% in July ), non-energy industrial goods (4.8%, compared to 5.0% in July) and energy (-3.3%, compared to -6.1% in July).

In Greece, annual inflation is expected to ease slightly to 3.4% in August from 3.5% in July.

In August, the highest inflation levels in the euro area were recorded in Slovakia (9.6%), Croatia (8.5%), Austria (7.6%) and Lithuania and Germany (6.4%).

The lowest inflation rates in the euro area are observed in Spain and Belgium (2.4%), Cyprus (3%) Greece, Finland, and the Netherlands (3.4%).