Based on the information available until the date of this press release, the Consumer Price Index (CPI) annual rate is estimated to have decreased to 2.5% in January 2025 (3.0% in December 2024). This deacceleration is partially due to the base effect related to the end of the VAT exemption for several essential food items and the increase in electricity prices, recorded in January 2024. The core inflation index, which excludes energy and unprocessed food products components was 2.6% (2.8% in the previous month). The annual rate of change of the index for energy products decreased to 2.4% (4.9% in December), reflecting the mentioned base effect in prices of electricity, and the estimated rate for unprocessed food was 1.8% (3.4% in the previous month).

The CPI monthly rate is estimated to be -0.5% (0.1% in December and nil in January 2024), while the CPI 12-month average rate was estimated to be 2.4% (the same value as in the previous month). 

The estimate of the Portuguese Harmonised Index of Consumer Prices (HICP) annual rate of change was 2.7% (3.1% in the previous month). 

The January CPI final results will be released on February 12th, 2025.