Hungary’s Inflation Rate Rises to 5.5% in January, Driven by Food, Service Costs
- 12 Feb 2025 1:17 PM
- Budapest Business Journal

On a monthly basis, consumer prices rose 1.5% from December, with motor fuel prices climbing 2.7%.
Food Prices Continue to Climb
Food prices increased by 6.% year-over-year, with staple goods experiencing particularly steep rises. The price of flour jumped by 43.2%, milk by 25%, eggs by 23.8%, and edible oil by 21.5%. Other notable increases included fruit and vegetable juices (16%), butter (15.5%), chocolate and cocoa (12.9%), dairy products (9.1%), and coffee (8.1%).
Some food items, however, saw price declines. Pasta products became 3.6% cheaper, margarine prices dropped by 2.9%, and processed meat products declined by 2.1%.
Services and Fuel Prices Outpace Overall Inflation
Service prices increased by 8.5% year-over-year, significantly outpacing overall inflation. The cost of postal services rose by 16.8%, while telephone and internet services were 15.0% more expensive. Rental costs climbed 11.8%, and repair and maintenance services also became costlier, with vehicle repairs up 10.3% and home maintenance 9.9% higher than a year ago.
Alcoholic beverage and tobacco prices increased by 4.9%, driven by a 5.3% rise in tobacco prices. Household energy costs remained largely stable, increasing by just 0.2%, though natural gas prices rose 1.5% and electricity costs were up 0.7%.
Motor fuel prices surged 11.8% year-over-year, contributing to the inflationary pressures.
Monthly Inflation Also Accelerates
On a monthly basis, consumer prices increased by 1.5% from December. Food prices rose 1.9%, with milk becoming 5.8% more expensive, edible oil up 5.1%, coffee increasing by 4.9%, and flour by 3.8%. The price of seasonal produce - potatoes, fresh vegetables, and fruit - rose by 4.4%.
Service costs climbed 2.2% in just one month, led by a 9.9% increase in telephone and internet services, a 6.0% rise in postal services, and a 2.7% increase in home maintenance costs.
Energy prices saw an overall 1.7% increase from December, with natural gas costs rising 3.7%. Meanwhile, alcoholic beverage and tobacco prices rose by 1.5%, and motor fuel prices increased by 2.7%.
However, clothing and footwear prices fell by 2.9%, reflecting the impact of seasonal sales.
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