Energy Price Drops Ease Inflation, But Core Rate Surges Unexpectedly in April 2025

April 29, 2025
Energy Price Drops Ease Inflation, But Core Rate Surges Unexpectedly in April 2025
  • In April 2025, natural gas prices fell by 5.9 percent, while electricity prices decreased by 4.6 percent.

  • Motor fuel prices also saw a decline, dropping by 1.4 percent this month, with a notable year-on-year decrease of 11.6 percent.

  • These reductions in energy and fuel prices contributed to a lower inflation rate, particularly in key products such as natural gas, electricity, motor fuels, and various food items.

  • As a result, inflation based on the health index decreased slightly to 3 percent in April.

  • However, core inflation, which excludes volatile items like energy and unprocessed foods, rose to 2.81 percent, up from 2.71 percent in March.

  • This rise in core inflation was unexpected, as the government's Planning Office had predicted an increase to 3.14 percent for April.

  • In a broader context, inflation in Belgium has dropped to 2.55 percent, marking the lowest level since early 2024.

  • Despite the overall decline in inflation, certain sectors experienced price increases, with airline ticket prices rising by 11.1 percent and hotel room prices increasing by 5.4 percent.

Summary based on 1 source


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