Inflation in the Netherlands accelerated to 3.5% in May, up from 2.8% in April, largely driven by rising energy prices linked to the conflict in the Middle East, according to a preliminary estimate released on Tuesday by the Dutch Central Bureau of Statistics (CBS).
The annual inflation rate measures changes in consumer prices compared to the same month a year earlier, the Dutch broadcaster NOS reported.
Energy prices recorded the sharpest increase, rising 10% from May 2025 levels. According to CBS Chief Economist Peter Hein van Mulligen, the surge was primarily fueled by higher fuel costs resulting from the war in the Persian Gulf.
“The driving force behind the rising prices is the war in the Middle East,” Van Mulligen said, noting that gasoline and diesel prices increased significantly during the month.
In addition to energy costs, prices for holidays and transportation abroad also rose sharply, contributing to broader inflationary pressures.
The latest inflation figure remains well above the European Central Bank’s 2% target, extending a period in which Dutch inflation has consistently exceeded the benchmark.
While inflation had shown signs of easing in recent months, the May data suggest that trend may have reversed, at least temporarily.
“Policymakers aiming for lower inflation will likely be tearing their hair out for the foreseeable future,” Van Mulligen said.
By contrast, prices for food, beverages and tobacco increased at a slower pace. After years of steep rises, prices in those categories appeared to stabilize in May, according to CBS.
Van Mulligen warned that inflationary pressures are likely to persist in the coming months as elevated energy costs continue to feed through the economy.
He said it remains difficult to predict how long the impact of the Middle East conflict on energy markets will last but added that higher prices are likely for the remainder of the year.
By Necva Tastan Sevinc
Anadolu Agency
