Cyprus’ annual inflation rate climbed to an estimated 3.7% in May 2026, up from 3% in April, according to Eurostat’s latest flash estimate for the Harmonised Index of Consumer Prices (HICP). This increase places Cyprus above the euro area average inflation rate of 3.2% for May.

The main drivers of inflation across the euro area remain energy prices, which rose by 10.9% year-on-year in May, alongside services and non-energy industrial goods. Cyprus experienced a monthly inflation increase of 0.9%, one of the stronger monthly rises among eurozone countries.

Compared to other major euro area economies, Cyprus’ inflation rate was higher than Italy (3.3%), France (2.8%), and Germany (2.7%), but lower than countries like Bulgaria (6.3%) and Lithuania (5.1%). The full dataset for May's inflation figures will be published on June 17 by Eurostat.