The year-on-year inflation rate in Serbia measured by the Consumer Price Index (CPI) was 3.8% in May, the first time since June 2024 that inflation fell below 4%, according to the Statistical Office of the Republic of Serbia.
Compared to April, prices rose by 0.2%.
The main contributors to monthly inflation were price increases in alcoholic beverages and tobacco (1.4%), restaurant and hotel services (0.6%), food and non-alcoholic drinks (0.4%), and clothing and footwear (0.5%).
Year-on-year, food and non-alcoholic beverages rose significantly more than average inflation, at 5.7%, with food alone increasing by 4.7%. Coffee and cocoa prices surged by 27.7% due to production issues, while non-alcoholic drinks rose 13.7%. Fruit prices jumped 22.6%, likely due to spring frosts, and sugar, jam, honey, and chocolate increased by 16.3%.
Alcoholic beverages and tobacco grew by 6.9%.
Rising utility costs also strongly impacted inflation: waste collection increased by 26.9%, water by 12%, and sewage by 14%.
Transport costs fell by 3.4%, mainly because of a 9.3% drop in fuel prices. However, rail transport rose sharply by 23.8%, though its impact on overall inflation is minimal.
Postal services saw a significant price hike of 52%.
Overall, goods prices increased by 3.4% year-on-year, while services became 5.1% more expensive.
