ISTANBUL

Annual consumer inflation rate in the euro area was 1.9% in May, down from 2.2% in the previous month, and also the lowest rate since September 2024, according to official data from Eurostat on Tuesday.

The figure was below both the market expectations of 2% and the European Central Bank's (ECB) target for the last month.

Energy prices were the biggest downward contributor to the inflation in May, down 3.6% annually.

The biggest upward driver of inflation was food, alcohol & tobacco (3.3%) in May, followed by services (3.2%), and non-energy industrial goods (0.6%).

The core inflation rate, which excludes volatile food and energy prices, rose 2.3% annually in May, below the market estimates of 2.4%.

Estonia had the highest annual rate with 4.6% in May, followed by Croatia and Slovakia, with 4.3% each.

The lowest inflation rate was seen in the Greek Cypriot Administration, with 0.4%, followed by France (0.6%) and Ireland (1.4%).

On a monthly basis, the consumer price index was unchanged in May, down from a 0.6% rise in April.

The eurozone/euro area, or EA20, represents member states that use the EU's single currency, the euro.