European Commission predicts inflation in Portugal of 5.1% this year

The European Commission improved, this Monday, the projection of the inflation rate in Portugal to 5.1% this year, expecting a moderation to 2.7% in 2024, initially reflecting energy prices and then food prices.

In the spring economic forecast released today, Brussels notes that after reaching 10.2% in the fourth quarter of 2022, inflation measured by the Harmonized Index of Consumer Prices (HICP) moderated to 8.4% in the first quarter of 2023 , a decline largely driven by lower energy prices, while food prices remained high.

The community executive believes that inflation should register a new moderation over the forecast horizon, “initially driven by the energy price index and later by food and non-industrial goods”.