Annual inflation in the euro area has risen to 3.8% in September 2026, up from 3.2% in August, according to a flash estimate from Eurostat.

Axar.az reports, citing Eurostat, that energy prices recorded the highest annual increase at 18.8%, compared with 14.3% in August.

Services inflation rose to 3.2% from 3.0%, while inflation for food, alcohol and tobacco increased to 1.4% from 1.1%. Inflation for non-energy industrial goods eased to 1.1% from 1.2%.

Among euro area countries, Lithuania recorded the highest estimated annual inflation at 6.1%, followed by Bulgaria at 5.6% and Greece, Cyprus and Luxembourg at 5.1%, 5.2% and 5.2%, respectively.

The lowest rates were recorded in Malta at 2.4%, Latvia at 2.9% and the Netherlands at 3.0%.

The full September inflation data are scheduled to be released on October 16.

European Central Bank officials seek to offset the impact of the energy shock on the economy through factors such as higher wage demands and rising corporate prices. Although expectations for an interest rate hike this month have eased, rates are expected to be raised at least twice in the coming period.