Malta’s inflation rate remained constant in July 2025, continuing to trend moderately above the euro area average, according to the latest data from the National Statistics Office (NSO).

The annual rate of inflation as measured by the Harmonised Index of Consumer Prices (HICP) held firm at 2.5 per cent for the month of July, lightly about the 2 per cent of the eurozone. This measure, which is used for direct comparison with other EU member states, indicates a period of stable, yet persistent, price pressures within the Maltese economy.

Providing a broader view of the inflationary trend, the 12-month moving average rate up to July stood at a slightly lower 2.3 per cent.

A breakdown of the contributing factors reveals a clear picture of the current consumer price dynamics. The most significant upward pressure on the inflation rate came from the essential category of food and non-alcoholic beverages. This index alone contributed +0.64 percentage points to the overall annual rate, underscoring the impact of ongoing higher costs for groceries and food staples on household budgets.

In contrast, the communication index provided the largest downward contribution, shaving -0.11 percentage points off the overall rate. This decline is typically associated with competitive pricing in telecommunications services, including mobile phone plans and internet packages.