Inflation rate down to 0.8 percent

  • Lowest rate in nearly four years
  • Tobacco products and identity documents lower inflation
  • Clothes cheaper

According to the most recent figures released by Statistics Netherlands (CBS), March’s inflation rate eased further to 0.8 percent, the lowest level since June 2010. In February, consumer prices were on average 1.1 percent higher than one year previously.

Price developments for tobacco products had a downward effect on inflation. Although tobacco prices were 2.6 percent higher in March than one year previously, the price rise in February on an annual basis was 8.6 percent, driven by last year’s excise duty increase. Clothes and identity documents also pushed down inflation. Clothes were cheaper than one year previously. Prices of Identity documents were raised, but the term of validity is currently twice as long.

The Inflation rate in the Netherlands calculated on the basis of the European harmonised method (HICP) was down to 0.1 percent in March, reaching the lowest level since September 2009. According to Eurostat, the eurozone inflation rate was 0.5 percent in March.