Inflation in the Netherlands Drops to 0.2% in September

Consumer goods and services were 0.2% more expensive in September compared to the same month last year, according to CBS. In August, inflation stood at 3.0%. The monthly inflation is measured as the change in the Consumer Price Index (CPI) compared to the same month in the previous year. Additionally, the CPI provides insights into price developments compared to the previous month, showing a 0.4% decrease in prices in September 2023 compared to August 2023.

The fluctuation in energy prices significantly influenced inflation. Excluding energy and motor fuels, inflation was 5.5% in September, down from 6.4% in August.

Energy Price Impact: The price development of energy (gas, electricity, and district heating) led to a decline in inflation. Energy was over 57% cheaper in September than in the same month last year. In August, prices were nearly 47% lower than in the same month a year earlier.

The CBS switched to a new method for measuring and processing energy prices in the CPI from June 2023, aiming for a more accurate reflection of market dynamics.

Motor Fuels Influence: The inflation trajectory was affected positively by the price development of motor fuels, which were 5.5% more expensive in September than a year ago. In August, motor fuels were 0.6% cheaper than in August 2022.

Short-Term Price Developments: The CPI, indicating the price level for consumers, decreased by 0.4% in September compared to August 2023. This reduction is part of a seasonal pattern, considering factors like higher airfare during vacation months.

Eurozone Inflation: The HICP (Harmonised Index of Consumer Prices) indicated that consumer goods and services in the Netherlands were 0.3% cheaper than the previous year, down from 3.4% in August. Eurozone inflation declined from 5.2% in August to 4.3% in September.