Inflation flat in August

After accelerating for three months, inflation stagnated in August, leaving the annual inflation rate the same as in July - 4.1 percent. 

Prices rose 0.1 percent last month.

"At the same time, service prices accelerated, however, this was canceled out by the slower rise of food prices. If we look at the other components, like energy and industrial production, inflation there did not change significantly in relation to July,” said Alan Bobetko, the head of the Directorate for Economic Analysis of the Croatian National Bank.

The price of services is growing fastest at 6.4 percent, followed by food, beverages and tobacco - 6.2 percent - and energy - 2.5 percent.

“Strong drivers of price growth are first of all domestic demand, demand from the tourist market. That was fully expected, no surprises there,” said economic analyst, Damir Novotny.

Croatia is still among the countries with the highest inflation in the Eurozone, behind Estonia.