Romania’s annual inflation rate dropped to 4.95% in January 2025, down from 5.14% in December, according to the official report released by the statistics institute INS on Friday, February 14.

Food prices increased by 4.54% year-over-year in January, non-food goods by 4.60%, and services by 6.54%.

Over the past year, food prices have shown mixed trends: flour prices dropped by 2.2%, potatoes by 0.6%, and sugar by 6.6%, according to Biziday.ro. Meanwhile, bread prices rose by 3%, fresh fruit by 11%, oil by 4%, meat by 3.4%, fish by 4%, milk and dairy products by 3%, and alcoholic beverages by 5%.

For non-food goods and services, price increases were higher than for food. Clothing, footwear, and fuel each saw a 6% rise, while chemical products and cigarettes increased by 9%, and cosmetics by 5%. Medicines rose by 3.3%, rent - 7.3%, water and sanitation services - 12%, medical care - 9%, air transport - 5.4%, and restaurants/cafés - 8.2%.

In contrast, electricity and gas prices dropped by 3.9%.

According to data presented in November 2024 by the Governor of the National Bank of Romania (BNR), Mugur Isărescu, the inflation forecast for the end of 2025 is estimated at 3.5%.

irina.marica@romania-insider.com

(Photo source: Tero Vesalainen/Dreamstime.com)