France's annual inflation rate in January 2025 rose to 1.4%, up from 1.3% in December, slightly below the anticipated 1.5%.
France's inflation hits 1.4% in January
This marks the fourth consecutive month of increasing inflation, following a low of 1.1% in September 2024. The increase was influenced by base effects, with a rebound in manufactured goods prices (0.2% vs -0.4%) and an acceleration in energy costs (2.8% vs 1.2%). However, a slowdown in service (1.9% vs 2.2%) and tobacco (6% vs 8.7%) prices helped mitigate the rise. Food prices remained nearly stable at 0.1%, compared to 0% the previous month.
France CPI declines 0.1% in January
The CPI fell by 0.1% every month, following a 0.2% increase in December. This was mainly due to seasonal drops in manufactured goods prices from winter sales and a decrease in service costs, particularly transportation, despite higher insurance costs. Energy, food, and tobacco prices are expected to continue rising.
