Cyprus Consumer Prices Lowest in Over Four Years

Consumer prices in Cyprus declined by 0.90% year-on-year in August 2025, easing slightly from a 0.92% decline in the previous month. This marked the fourth consecutive month of deflation and still the steepest fall in consumer prices since March 2021. Prices moderated for alcoholic beverages and tobacco (0.27% vs 1.24% in July), recreation and culture (3.90% vs 4.07%), restaurants and hotels (4.54% vs 5.00%), education (3.89% vs 3.92%), and communication (0.48% vs 0.52%). In addition, costs fell further for clothing and footwear (-7.70% vs -7.30%). In contrast, prices rose for health (1.71% vs 1.68%) and miscellaneous goods and services (1.04% vs 0.82%), while costs declined at a softer pace for housing and utilities (-2.34 vs -2.66%), furnishings, household equipment and supplies (-0.50% vs -0.61%), and transportation (-3.05% vs -3.40%). On a monthly basis, consumer prices rose by 0.3% in August, rebounding from a 0.5% fall in the preceding period.