The annual inflation rate in Croatia rose to 4.1% in July 2025, confirming initial estimates, from 3.7% in the previous month. This marked the highest level since March 2024, largely driven by higher prices for food, beverages, and tobacco (6.9% vs 5.8% in June) and housing and utilities (6.0% vs 5.2%). Prices also increased for alcoholic beverages and tobacco (5.5% vs 2.0%) and health (5.3% vs 5.1%), while costs rebounded for furnishings, household equipment and maintenance (1.1% vs -0.1%). On the other hand, price growth slowed for restaurants and hotels (7.6% vs 8.5%), while remaining unchanged for recreation and culture (at 5.2%) and miscellaneous goods and services (at 6.1%). Additionally, deflation was seen in transport (-0.9% vs 0%), communication (-0.6% vs 2.3%), and clothing and footwear (-1.9% vs -3.2%). On a monthly basis, consumer prices grew by 0.4% in July, following a 0.2% rise in June.