South Cyprus Inflation Rises to 1.9 per cent in February

Specifically, the index rose by 0.38 points, reaching 117.11 compared to 116.73 in January 2025. On a monthly basis, the CPI increased by 0.33 per cent.

The largest change in economic categories compared to February 2024 and the previous month was seen in agricultural products, which increased by 7.0 per cent and 2.7 per cent, respectively.

Breaking down the individual categories, the largest annual increase occurred in transport, which rose by 3.7 per cent, mainly due to higher fuel prices.

Similar increases of 3.7 per cent were seen in education, while prices for restaurants and hotels increased by 3.5 per cent.

In contrast, the clothing and footwear category recorded the largest annual decrease, with prices falling by 5.1 per cent.

There were also notable increases in the food and non-alcoholic beverages category, which saw an annual rise of 3.5 per cent and a monthly increase of 0.2 per cent.

Within this category, the price hikes were largely driven by fresh vegetables, meat, and fruits.

Key sectors driving inflation

In terms of the overall inflation composition for February 2025, the categories with the most significant positive impact were transport, contributing 0.62 points to the annual cpi increase.

Food and non-alcoholic beverages followed, contributing 0.52 points, driven mainly by price increases in essential food items.

Another major contributor to inflation was the rise in petroleum product prices, which added 0.40 points to the index.

Additionally, catering services contributed 0.37 points.

On the other hand, the clothing and footwear category had the largest negative impact on the CPI, reducing it by 0.36 points on an annual basis.

Meanwhile, the monthly CPI change was most influenced by fresh vegetables, which had the greatest positive impact on the change in CPI compared to January 2025, contributing 0.25 points.

Conversely, potatoes had the largest negative effect, contributing a decrease of -0.06 points.

Source: Cyprus Mail