The annual inflation rate in Portugal rose to 2.6% in July of 2025 from 2.4% in the previous month, aligned with the flash estimate. It was the highest level of inflation since the start of the year. Prices accelerated for unprocessed food (6.2% vs 4.7%), making up for the steady inflation rate in processed food (1.3%). In turn, the core inflation index, which excludes energy and unprocessed food products components rose to 2.5% from 2.4% in June. Meanwhile, the EU-harmonized index of consumer prices (HICP) climbed to 2.5% from 2.1%.