Slovakia's annual inflation rate edged up to 4% in January 2026 from 3.8% in December, matching market expectations. It marked the highest reading since September 2025, driven primarily by a sharp acceleration in housing and utilities prices (6.1% vs 2.8% in December) amid regulatory measures, particularly significant increases in thermal energy prices (25%) and gas (6.7%). Overall inflation was also supported by higher costs for food and non-alcoholic beverages (3.9% vs 2.8%), particularly food prices (3%), as eight out of nine food categories recorded annual price growth exceeding 4%. In contrast, prices declined for transport (-1.8% vs 1.7%), mainly due to an over 8% drop in fuel costs and lower air transport fares. On a monthly basis, consumer prices increased 1.8% in January, rebounding from a 0.3% fall in the prior month and exceeding market expectations of 1.6%. Meanwhile, core inflation, which excludes regulated prices, eased slightly to 2.9% from 3% in December 2025.