The year-on-year growth of consumer prices in the Czech Republic accelerated to 2.5 percent in October from 2.3 percent in September, according to the Czech Statistical Office (Český statistický úřad, ČSÚ), which confirmed its preliminary estimate from last week. The increase was primarily driven by higher prices of food. Month-on-month, consumer prices rose by 0.5 percent in October.
„Vývoj spotřebitelských cen byl v říjnu opět výrazně ovlivněn cenami potravin a nealkoholických nápojů, které zrychlily svůj meziroční růst na 3,6 procenta. Oproti minulému měsíci jejich ceny vzrostly o 1,1 procenta,“ uvedla vedoucí oddělení statistiky spotřebitelských cen ČSÚ Pavla Šedivá.
Food price inflation reached 3.6 percent year-on-year and increased by 1.1 percent compared to the previous month. Prices of milk, cheese, and eggs have risen about eight percent on average, meat by six percent, and bread by three percent. Alongside food, prices of alcoholic beverages grew by four percent, tobacco products rose by six percent, and after declining in September, wine and beer prices have increased again.
Economist Petr Dufek from Banka Creditas commented that the rise in inflation is mainly due to more expensive food, alcohol, and tobacco products. Although the wave of food price increases had slowed in September, October numbers show it has not disappeared, especially for dairy and meat products.
He noted that the Czech National Bank should remain cautious with monetary policy, as service prices, including rents and holiday stays, are also rising sharply. Energy prices have so far helped keep inflation in check due to previous price reductions in electricity and natural gas, but excluding energy, inflation stands at around three percent, which cannot be considered price stability.
This gradual rise in inflation reflects lingering pressures on food and consumer goods, indicating that while energy prices provide temporary relief, broader inflationary factors remain significant in the Czech economy.