The annual inflation rate decline to 1.21% in March dropping to the lowest point in the last three years, driven mainly by the steep drop in electricity prices, according to data released by the Statistical Service of Cyprus (Cystat).

In March the Consumer Price Index (CPI) increased by 0.48 units to 115.41 units compared to 114,93 units in February 2024, with the annual percentage change amounting to by 1.2%. This the lowest inflation reading since April 2021.

For the period January-March 2024, the CPI increased by 1.6% compared to the corresponding period of the previous year.

By economic origin, Electricity prices recorded the steepest drop 7.9%

In terms of goods and services, the largest annual change was recorded in restaurants and hotels with 5.9% whereas the highest annual drop was registered by Housing, Water, Electricity, Gas and Other Fuels with 1.07%, Cystat added.