6/2/2020 Inflation in the euro area - Statistics Explained

Inflation in the euro area

Estimated data for January 2020.
Extracted on 31 January 2020.
On 3 February 2020, non-energy industrial goods, all-items excluding energy, and unprocessed
food data were revised.
Next planned article update: 21 February 2020.

Highlights

Tweet Euro area annual inflation is expected to be 1.4 % in January

2020, up from 1.3 % in December 2019.

Euro area annual inflation and its main components (%), January 2010 - January 2020
(estimated)
Source: Eurostat (prc_hicp_manr)

The figures presented are early estimates of the euro are inflation.

Full article 

Euro area annual inflation rate and its main components

Flash estimate and full HICP data

Main components of inflation

Euro area annual inflation rate and its main components

Euro area annual inflation is expected to be 1.4 % in January 2020, up from 1.3 % in
December 2019.
Looking at the main components of euro area inflation, food, alcohol & tobacco is
expected to have the highest annual rate in January (2.2 %, compared with 2.0 % in
December), followed by energy (1.8 %, compared with 0.2 % in December), services
(1.5 %, compared with 1.8 % in December) and non-energy industrial goods (0.3 %,
compared with 0.5 % in December).

https://ec.europa.eu/eurostat/statistics-explained/index.php?title=Inflation_in_the_euro_area#Euro_area_annual_inflation_rate_and_its_main_co… 1/4
6/2/2020 Inflation in the euro area - Statistics Explained

Table 1: Euro area annual inflation and its main components (%), 2020, January 2019
and August 2019-January 2020 (estimated)
Source: Eurostat (prc_hicp_manr)

Figure 1: Euro area annual inflation and its main components (%), January 2010 -
January 2020 (estimated)
Source: Eurostat (prc_hicp_manr)

Figure 2: Euro area annual inflation and its main components (%), January 2018 -
January 2020 (estimated)
Source: Eurostat (prc_hicp_manr)

Flash estimate and full HICP data

https://ec.europa.eu/eurostat/statistics-explained/index.php?title=Inflation_in_the_euro_area#Euro_area_annual_inflation_rate_and_its_main_co… 2/4
6/2/2020 Inflation in the euro area - Statistics Explained

The euro area inflation flash estimate is issued on the last day of each reference
month or shortly after. The euro area HICP flash estimate is an aggregate of the
preliminary HICPs of all Member States whose currency is the euro. The euro area
consists of Belgium, Germany, Estonia, Ireland, Greece, Spain, France, Italy, Cyprus,
Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Austria, Portugal, Slovenia,
Slovakia and Finland. When the full set of harmonised indices of consumer prices
(HICP) is released, around the middle of each month following the reference
month, the flash estimate data are replaced by final HICP figures.
To check the accuracy of the flash estimates against the final figures, please refer
to the database table ‘First published data’, available on Eurostat’s database. Note
that this table only shows unrevised data, as published in news releases. For the
up-to-date HICP figures, always refer to the evolving HICP datasets (see ‘Database’
links under ‘Direct access’, at the end of this article).

Main components of inflation

Each of the main components contributes in varying degree to the headline
inflation in the euro area. In terms of weights for 2020, 100 % for the headline
HICP, services is expected to be the largest component, accounting for around
44.9 % of household final monetary consumption expenditure in the euro area. It
is followed by non-energy industrial goods with around 26.2 %.
Food, alcohol & tobacco and energy are expected to account for 19.1 % and 9.8 %,
respectively. Together, they comprise less than one third of euro area expenditure,
but they can have significant impacts on the headline inflation as their prices tend
to fluctuate significantly more than the other components'.
The weights of the main components of the euro area for 2020 are presented in
Figure 3. Table 2 shows their relative weights for 2020.

Figure 3: Weights of the main components of the euro area HICP - 2020 (estimated)
Source: Eurostat (prc_hicp_inw)

https://ec.europa.eu/eurostat/statistics-explained/index.php?title=Inflation_in_the_euro_area#Euro_area_annual_inflation_rate_and_its_main_co… 3/4
6/2/2020 Inflation in the euro area - Statistics Explained

Table 2: Relative weights of HICP components (out of 1000), 2020 (estimated)

Source: Eurostat (prc_hicp_inw)

Direct access to

Other Database Dedicated Publications Methodology Visualisations

articles section

Retrieved from "https://ec.europa.eu/eurostat/statistics-explained/index.php?

title=Inflation_in_the_euro_area&oldid=469779"
Categories: Consumer price indices and inflation Consumer prices

Statistical article

https://ec.europa.eu/eurostat/statistics-explained/index.php?title=Inflation_in_the_euro_area#Euro_area_annual_inflation_rate_and_its_main_co… 4/4