Malta: Annual inflation rate in April above EU average

Malta’s annual inflation rate in April stood at 1.1 percent, the eighth highest among EU member states according to figures by Eurostat. The EU average was 0.7 percent, down from 1.9 percent a year before; in the euro area, the rate dropped from 1.7 percent in April 2019 to 0.3 percent in April 2020.

The decline reflects the impact of containment measures against the spread of the coronavirus introduced in March and April in most European countries. The highest annual rates were recorded in the Czech Republic (3.3%), Poland (2.9%), and Hungary (2.52%). Slovenia registered the lowest annual rate at -1.3 percent, preceded by Cyprus (-1.2%), Estonia and Greece (both -0.9%).

Compared with March, annual inflation fell in all EU states except Italy, where it remained stable at 0.1 percent. The rate in Malta for March was 1.2 percent, right at the EU average.

Food, alcohol, and tobacco were the main contributors to the annual inflation rate in the euro area, increasing by 0.67 percentage points, followed by services (+.52pp). The contribution of energy slipped to -0.97 percentage points.