In July 2026, Malta’s inflation rate as measured by the Harmonised Index of Consumer Prices (HICP) was 2.1 per cent, 0.1 percentage points higher than in the month of June.

Malta’s annual inflation rate is below the Euro Area’s 2.9 per cent and the EU’s 3 per cent. Malta’s highest point in the year was April, when it stood at 2.5 per cent.

The highest local annual inflation rates in July were recorded in personal care, social protection and miscellaneous goods and services (3.7 per cent); and restaurants and accommodation services (3.3 per cent) categories. Other notable contributors are education services (3.2 per cent) and recreation, sport and culture (also 3.2 per cent). These categories exerted upward pressures on the overall inflation.

On the other hand, the lowest annual inflation rates were recorded in clothing and footwear (-3.6 per cent) and information and communication (-1.6 per cent). These helped offset the broader price increases.

In terms of contributions to the overall annual inflation rate, the restaurants and accommodation services Index (+0.49 percentage points), the food and non-alcoholic beverages Index (+0.29 percentage points), and the housing, water, electricity, gas and other fuels Index (+0.28 percentage points), recorded the largest contributions to the overall annual inflation rate.

These were mainly due to higher prices of restaurant services, meat, and house maintenance services, respectively.

Not all sectors experienced price increases however. The clothing and footwear Index (-0.15 percentage points) and the information and communication Index (-0.08 percentage points) recorded downward contributions. These mainly reflected lower prices of garments and mobile phone services respectively

The annual rate of change registered by the Maltese all-items HICP was 2.1 per cent, 0.8 percentage points lower than the 2.9 per cent registered in the euro area