10.09.202506:10:25UTC+00Norway Inflation Rate Climbs to 6-Month High

Norway experienced an uptick in its annual inflation rate, reaching 3.5% in August 2025, the highest figure observed since February, up from 3.3% in July, aligning with market expectations. The primary contributors to this increase were the housing and utilities sectors, which saw inflation rise to 6.3% from July’s 4.4%, along with increased inflation rates for alcoholic beverages and tobacco, which climbed to 4.1% from 3.9%, and transportation, which grew to 2.7% from 2.4%. Conversely, inflation eased in key sectors such as food and non-alcoholic beverages, dropping to 5.4% from 5.9%; health, which decreased to 3.4% from 4.1%; communications, declining to 4.1% from 5.0%; and recreation and culture, seeing a reduction to 2.9% from 3.1%. The clothing and footwear category recorded a smaller contraction of 2.5% compared to the previous 3.1%, while furnishings and household equipment moved into deflation at -0.9%, a shift from the 1.0% inflation noted earlier. On a monthly scale, the Consumer Price Index (CPI) decreased by 0.6%, marking the first drop since March, effectively reversing the 0.8% increase noted in July, a result also anticipated by forecasts. Meanwhile, the CPI-ATE—adjusted for tax changes and excluding energy products—rose by 3.1% year-on-year, maintaining the same rate as July and holding its highest level since March.