Belgium’s inflation eases to 2.9% in August

Belgium’s inflation rate based on the consumer price index (CPI) for August 2024 stood at 2.9 per cent, down from 3.6 per cent in July 2024, official data showed on Monday.

The European harmonised index of consumer prices (HICP) showed a similar trend, as inflation rate ran at 4.3 per cent in August compared to 5.4 per cent in July and June.

Core inflation, which excludes energy and unprocessed food, rose slightly to 3.7 per cent in August from 3.6 per cent in July.

The largest upward pressures on inflation came from natural gas, tobacco, and electricity, while motor fuels, domestic heating oil, meat, and vehicle purchases had the most significant downward effects.

The HICP at constant tax rates (HICP-CT) was 3.3 per cent in August, down from 4.5 per cent in July and June, reflecting the impact of increased excise duties on tobacco and natural gas.

Food and non-alcoholic beverage inflation stood at 1.8 per cent, up from 1.1 per cent in July, continuing a downward trend from a peak of 20.3 per cent in March 2023.

Electricity prices increased by 11.3 per cent year-on-year, while natural gas prices surged by 103.0 per cent. In contrast, domestic heating oil prices fell by 16.2 per cent compared to last year.