In December, Poland experienced an increase in consumer price inflation, reversing the downward trend observed in the previous month, primarily due to rising costs in food and energy sectors. Yet, annual inflation for 2024 recorded its lowest rate in four years, according to preliminary figures released by Statistics Poland on Friday.
The preliminary consumer price index indicated a 4.8 percent increase on a year-on-year basis for December. This followed a deceleration in November, when inflation stood at 4.7 percent, down from a peak of 5 percent in October.
The food and non-alcoholic beverages category saw a 4.8 percent rise in prices, while electricity, gas, and other fuels experienced a significant 12 percent increase. Conversely, fuel prices for personal transport decreased by 3.9 percent.
On a month-to-month comparison, the consumer price index increased by 0.2 percent in December.
For the entirety of 2024, the average inflation rate was 3.7 percent, aligning with the National Bank of Poland's forecast issued in November. This rate was significantly lower compared to the 11.7 percent inflation noted in 2023, and it was the lowest since 2020, when the inflation rate was 3.4 percent.
The central bank has projected an average inflation rate of 5.6 percent for 2025 and 2.7 percent for 2026, assuming the withdrawal of energy price relief measures for households. Core inflation data from the central bank for December is expected to be released on January 16.
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