Consumer prices in July were on average 1.2 percent higher than a year earlier, while they fell by 0.1 percent compared with June, the Hungarian Central Statistical Office (KSH) reported on Friday.
Analysts had expected annual inflation of 1.5 percent in July, following 1.7 percent in June, 1.8 percent in May and 2.1 percent in April. The significant slowdown was driven by falling energy prices: households paid 4.3 percent less for energy, including 10.9 percent less for piped gas, than in July last year.
Food prices fell by 1.1 percent, or 4.4 percent excluding catering services. The prices of services increased by 4.7 percent, while alcoholic beverages and tobacco products became 2.9 percent more expensive. Durable consumer goods increased in price by 1.8 percent.
Péter Magyar also highlighted on his social media page that inflation had fallen to a level not seen in 10 years, adding that, most importantly, food prices had fallen for the first time in a long time.
