Switzerland's Inflation Overview

In December, Switzerland experienced a slight decrease in its annual inflation rate, which stood at 0.6%, as reported by the Federal Statistical Office. This figure represents a minor decline from November's 0.7% and matches the forecasts made by analysts.

Monthly CPI Changes

The Consumer Price Index (CPI) saw a monthly decrease of 0.1%, settling at 106.9 points. This reduction is largely due to lower prices in several sectors, including international package holidays, medicines, and various vegetables. Conversely, prices for supplementary accommodation and hotels saw an uptick during the same period.

Core Inflation and HICP

Core inflation, which excludes volatile items such as fresh and seasonal products, energy, and fuel, remained unchanged from the previous month, with an annual increase of 0.7%. The Harmonised Index of Consumer Prices (HICP), crucial for European comparisons, decreased by 0.1% monthly, with an annual rise of 0.4%. The average annual inflation for 2024 was recorded at 1.1%.