1.1. Contact organisation

National Statistics Office (NSO)

1.2. Contact organisation unit

Economic Statistics Directorate (Unit A5) - Price Statistics (NSO Malta| Prices)

1.3. Contact name

Confidential because of GDPR

1.4. Contact person function

Confidential because of GDPR

1.5. Contact mail address

National Statistics Office (NSO), Unit A5: Price Statistics, Lascaris, Valletta, VLT2000, Malta

1.6. Contact email address

Confidential because of GDPR

1.7. Contact phone number

Confidential because of GDPR

1.8. Contact fax number

Confidential because of GDPR

2.1. Metadata last certified

31 March 2025

2.2. Metadata last posted

8 August 2025

2.3. Metadata last update

8 August 2025

3.1. Data description

The harmonised index of consumer prices (HICP) is a consumer price index (CPI) that is calculated according to a harmonised approach. It measures the change over time of the prices of consumer goods and services acquired by households (inflation).

Due to the common methodology, the HICPs of the countries and European aggregates can be directly compared.

3.2. Classification system

European classification of individual consumption according to purpose (ECOICOP)

3.3. Coverage - sector

The HICP covers the final monetary consumption expenditure of the household sector.

3.4. Statistical concepts and definitions

The main statistical variables are price indices.

3.5. Statistical unit

The basic unit of statistical observation are prices for consumer products.

3.6. Statistical population

Please see the information under the next points.

3.6.1. Statistical target population

The target statistical universe is the 'household final monetary consumption expenditure' (HFMCE) on the economic territory of the country by both resident and non-resident households. The household sector to which the definition refers, includes all individuals or groups of individuals irrespective of, in particular, the type of area in which they live, their position in the income distribution and their nationality or residence status. These definitions follow the national accounts concepts in the European System of Accounts.

3.6.1.1. Statistical target population - national specifics

National Accounts (NA) provides tourist expenditures, which are integrated in the weighting structure.  In the benchmark year, i.e., 2015, we start with the expenditure by residents, add tourist expenditure, personal expenditure of persons in institutional care and some other adjustments, and come up with a higher value than the original Household Budgetary Survey (HBS) figure by Classification of Individual Consumption according to Purpose (COICOP).  Once the expenditure in the domestic market is established in the benchmark year, extrapolations are done for each COICOP based on imports, local production of goods (Short-Term Statistics (STS) index for local sales) and services and various other sources.  

All COICOP/HICP headings that account for at least one part of a thousand of the total expenditure are transmitted. 

Expenditures of all households are reflected in the sub-index weights. As NA work at 4-digit level, the share of the consumption expenditure of individuals living in institutional households is not known.

The NA Unit compiles the data and establishes the expenditure by foreigners in Malta.  The Tourism Unit provides information to distinguish between foreign business expenditure and consumers' foreign expenditure in Malta.  This information is used by the Balance of Payments Unit which in turn supply to the NA Unit with the foreign business expenditure. The HBS asks categorically for the amount spent abroad, thus enabling the exclusion of this completely.  Internet purchases are currently being monitored through surveys carried out throughout the year.

Fines and penalties are not included in the HICP.

3.7. Reference area

Please see the information under the next point.

3.7.1. Geographical coverage

The HICP refers to the economic territory of a country as referred to in paragraph 2.05 of Annex A to ESA 2010, with the exception that the extraterritorial enclaves situated within the boundaries of a Member State or a country are included and the territorial enclaves situated in the rest of the world are excluded.

3.8. Coverage - Time

Please see the information under the next points.

3.8.1. Start of time series

The HICP series started in January 1997.

3.8.2. Start of time series - national specifics

See the HICP database

3.9. Base period

2015=100

The following units are used:

• Index point
• Percentage change on the same period of the previous year (rates);
• Percentage change on the previous period (rates);
• Percentage share of the total (weights).

HICP is a monthly statistics.

6.1. Institutional Mandate - legal acts and other agreements

Harmonised Indices of Consumer Prices (HICPs) are harmonised inflation figures required under the Treaty on the Functioning of the European Union. Regulation (EU) 2016/792 of the European Parliament and the Council of 11 May 2016 (OJ L 135) sets the legal basis for establishing a harmonised methodology for the compilation of the HICP and the HICP-CT.

This regulation is implemented by Commission Regulation (EU) 2020/1148 of 31 July 2020.

All the HICP legislation can be found in the HICP decicated section in Eurostat's website: Legislation - Eurostat (europa.eu).

Further documentation, namely recommendations on specific topics, can be found in the Methodology page.

6.1.1. Legal acts - deviations

The HICP has been fully compliant with HICP regulations and guidelines since 2013.

6.1.2. National legal acts and other agreements

The Malta Statistics Authority act ((MSA) LEĠIŻLAZZJONI MALTA (legislation.mt) stipulates, in the section entitled 'OFFENCES AND PENALTIES', that:

'The Authority may impose administrative penalties amounting to (a) one hundred and fifteen euro (115) on any person for failure to respect the deadline for the provision of information laid down pursuant to article 36; and (b) two hundred and thirty euro (230) on any person who fails, refuses to provide, or provides incorrect information, on any requested information in response to a request from the Director General under the provisions of article 36 or 39.'

No reference to HICP standards is made in the national legislation.

National legislation does not determine datasets in any areas.

There are no rules in national legislation that restrict the implementation of HICP standards.

6.1.3. Access to administrative data

National authorities are obliged by law to grant access to administrative data for the purposes of price statistics.

6.1.4. Organisation unit - portfolio

The Price Statistics Unit produces the following statistics;

HICP & RPI (Retail Price Index) - The production of the both harmonised and national consumer price index compilation

OOH (owner-occupied housing) & HPI (house price index) & RPPI (Residential Property Price Index) - The production of housing and house price index compilation

PPP - The production of Purchasing Power Parities

6.1.5. Regional organisation of consumer price statistics

Not applicable as the Price Statistics Unit forms part of the central office.

6.2. Institutional Mandate - data sharing

None.

7.1. Confidentiality - policy

At national level: Confidentiality is one of the major principles guiding the activities of the NSO.

Article 40 of the MSA Act stipulates the restrictions on the use of information and in Article 41, the prohibition of disclosure of information. Furthermore, Section IX of the Act (Offences and Penalties) lays down the measures to be taken in case of unlawful exercise of any officer of statistics regarding confidentiality of data. No cases of breaches in the law have ever been recorded - LEĠIŻLAZZJONI MALTA (legislation.mt)

Since its inception, the NSO has always operated within a culture of strict confidentiality to which it is also bound by the provisions of the Data Protection Act. This Act, which came fully into effect on July 15, 2003, seeks to protect individuals against the violation of their privacy by the processing of personal data.

Reference is also made to Eurostat's guidelines: Statistical confidentiality and personal data protection - Microdata - Eurostat (europa.eu).

During 2009, the NSO has set up a Statistical Disclosure Committee to ensure that statistical confidentiality is observed, especially when requests for microdata are received by the NSO.

Upon employment, staff is informed of the rules and duties pertaining to confidential information and its treatment. According to the MSA Act, before commencing work, every employee is required to take an oath of secrecy whose text is included in the Act.

At European level: Regulation (EC) No 2024/3018 on European statistics of 27 November 2024, stipulates the need to establish common principles and guidelines ensuring the confidentiality of data used for the production of European statistics and the access to those confidential data with due account for technical developments and the requirements of users in a democratic society.

As a result, the following list of items are considered confidential, mainly for the data protection of the outlets:

• Individual item prices and descriptions 
• Calculation sheets
• Weights at the most granular level
• Outlet names

7.2. Confidentiality - data treatment

According to policy rules (see point 7.1).

In line with the Community legal framework and the European Statistics Code of Practice Eurostat disseminates European statistics on Eurostat's website (see point 10 - 'Accessibility and clarity') respecting professional independence and in an objective, professional and transparent manner in which all users are treated equitably. The detailed arrangements are governed by the Eurostat protocol on impartial access to Eurostat data for users.

8.1. Release calendar

The HICP is released according to the Release calendar - Eurostat.

The calendar is publically available and published at the end of the year for the full following year.

8.2. Release calendar access

The news release calendar is available on the website NSO Malta | Calendars (gov.mt).

The NSO dissemination policies are available on our website through the NSO Malta | Policies - NSO Malta.

8.3. Release policy - user access

The news release calendar is available on the NSO website and includes a 6-month advance notice.

Pre-access to the data is only granted to Ministry of Finance and the Malta Statistics Authority (MSA).

At the same time of the news release dissemination, detailed price indices of the national RPI are released on the database: NSO Statistical Database.

Data is disseminated on a monthly basis.

10.1. Dissemination format - News release

The HICP news release sheds light over its 12 main ECOICOP divisions, and it is issued on a monthly basis. Everyone has access to the same information simultaneously. All news releases are regulated by an internal dissemination policy.

The HICP news releases can be accessed through the website NSO Malta | Prices (gov.mt).

10.2. Dissemination format - Publications

Not applicable.

10.3. Dissemination format - online database

HICP data at 3-digit ECOICOP will be made available on NSO's online database, Statistical Database (gov.mt).

HICP data at 5-digit ECOICOP can be accessed on Eurostat's online Database - Harmonised Indices of Consumer Prices (HICP) (europa.eu).

10.3.1. Publication levels

At a national level, the HICP indices are disseminated at ECOICOP 2-digit level at 2 decimal places.

No further aggregates are disseminated nationally.

10.3.2. Publication by regions

Not applicable.

10.3.3. Publication by households

Not applicable.

10.4. Dissemination format - microdata access

Microdata is not disseminated at a national level.

10.5. Dissemination format - other

Formal data requests are received through NSO's web e-form page: Request for Statistical Information (gov.mt). 

10.6. Documentation on methodology

The HICP Methodological Manual provides the reference methodology for the production of HICP.

10.6.1. Documentation on methodology - national specifics

The document ‘The RPI and the HICP Manual’ explaining in detail the methodologies used for the monthly working of the RPI and the HICP is available on our website. The document, which is primarily intended for use by economic and social analysts and other researchers, can be accessed from the webpage RPI Sources & methods.pdf (gov.mt)

The HICP Metadata is also accessible from the webpage Harmonised index of consumer prices (HICP) (prc_hicp) (europa.eu).

10.7. Quality management - documentation

The Eurostat's Compliance Monitoring Report of 2018 gives Eurostat's review of the HICP for Malta in the context of quality assurance. The report together with its follow-up report can be accessed through the web page: Quality - Harmonised Indices of Consumer Prices (HICP) - Eurostat (europa.eu) or through the direct links:

• Report - HICP compliance monitoring - Malta (published 2019)
• Follow-up report - HICP compliance monitoring - Malta (published 2022)

11.1. Quality assurance

Some of our data is corraborated with other data from other units within NSO, hence assessing the quality of our price data collected. The coverage of the basket of goods and services is deemed to be quite comprehensive.

11.1.1. Quality management - Compliance Monitoring

Compliance Monitoring

A strong commitment to quality management and an understanding of its significance are deeply ingrained in the NSO’s operations, through comprehensive quality documentation, including metadata reports. The peer review team has acknowledged these metadata reports as an effective and innovative practice. Moreover, rigorous standards for confidentiality and data protection were validated by its first ISO 27001 certification in 2019. Furthermore, an IT Transformation Project has been initiated, aiming at standardising statistical processes, enhancing quality and efficiency.

In light of this, data is treated with confidentiality.

11.1.2. Quality assurance - national specifics

Specialised personnel check all prices every month. If any abnormal price movement is flagged, then it is discussed with the price collector reporting that price change. If a plausible explanation for that price change is provided, the price is accepted. Otherwise, the price collector is asked to check the price again. One of the reports available to identify grey areas is a sheet pinpointing those items which have a relatively high annual or monthly rate. Moreover, another report that highlights the major changes taking place at the 4-digit ECOICOP is available. This facilitates validation by qualified personnel.

11.2. Quality management - assessment

See next points.

11.2.1. Compliance monitoring - last report and main results

The last available compliance and follow-up reports can be found on Eurostat’s web page: Quality - Harmonised Indices of Consumer Prices (HICP) - Eurostat (europa.eu), or accessed through the direct links underneath:

• Report - HICP compliance monitoring - Malta (published 2019)
• Follow-up-report -HICP compliance monitoring - Malta (published 2022)

11.2.2. Quality assessment - national specifics

Not applicable.

12.1. Relevance - User Needs

In addition to being a general measure of inflation, the HICP is also used in the areas of:

• wages, social benefit and contract indexation;
• economic forecasting and analysis;
• measuring specific price trends;
• accounting purposes and deflating other series;
• inflation targeting by central banks;
• cross-country economic comparisons.

The euro area (evolving composition) index is used by the European Central Bank (ECB) as the main indicator for monetary policy management. The ECB and the European Commission's Directorate-General for Economic and Financial Affairs (DG ECFIN) use the HICP for assessing price stability and price convergence required for entry into European Monetary Union.

Other users include: National Central Banks, financial institutions, economic analysts, the media and the public at large.

12.1.1. User Needs - national specifics

The key users of the HICP are the Central Bank of Malta (CBM) and the Economic Policy Division (EPD) within the Ministry for Finance (MFIN). The CBM normally requests detailed information to produce forecasts, whereas the EPD is more interested in explanations of certain price trends.

12.2. Relevance - User Satisfaction

Views and opinions of users are normally collected from newspapers or the media.

A user satisfaction survey is not run regularly with the most recent user satisfaction survey was conducted in 2021. No user satisfaction index is calculated.

Apart from this a Retail Price Index Advisory Committee was set-up, and tasked with examining the RPI data prior to its publication and satisfy itself that the Index reflects faithfully the general price level in the economy. Furthermore, the Committee is empowered to make recommendations that may improve the manner and the frequency of price collect for those items that make up the index. Lastly the committee may also make recommendations on the organisation of the HBS which is carried out by the National Statistics Office.

12.3. Completeness

All required statistics are produced in accordance to the respective regulations and guidelines.

13.1. Accuracy - overall

The overall accuracy of the HICP is deemed to be high especially in terms of the methodological soundness of price and weight sources and compliance to commission regulations. 

No particular test procedures are in place to test the overall accuracy, however, all changes are analysed and significant price differences are checked thoroughly. Missing prices are detected at the vetting stage. Detected errors after publication are corrected with the issue of an errata corrige.

Data processing flows are documented.

13.2. Sampling error

Not applicable since the outlets to be monitored are chosen according to their representativity in the market.

13.3. Non-sampling error

Human errors in coding and data entry are the two main types of non-sampling errors. Besides, the weighting scheme is normally based on different assumptions which might give rise to non-sampling errors.

13.3.1. Coverage error

Not applicable.

13.3.1.1. Coverage error population

There are no differences as regards the territorial and population coverage.  The domestic concept is not applied in our national CPI.

Social protection and accommodation services are excluded from the national CPI. The national CPI covers the expenditure of the typical 'Maltese' (residents as well) consumer. Otherwise there are no differences in coverage. The weight is the most important distinguishing factor between the national CPI and the HICP.

13.3.1.2. Coverage error regions

Not applicable as all parts of the country are included in the index compilation.

14.1. Timeliness

The full set of HICPs is published each month according to a pre-announced schedule, usually between 15 and 18 days after the end of the reference month. Each year, the January news release is published at the end of February to allow for the annual update of the weights of individual product groups and the relative country weights of Members States in the country-group aggregates.

The euro area flash estimate is published on the last working day of the reference month or shortly after that.

14.1.1. Time lag - final result

The HICP in Malta is normally published on the same day of Eurostat publication of the HICP, usually between 15 and 18 days after the end of the reference month. However, there are instances, for example when the Eurostat publication falls on a national holiday, when the publication dates do not coincide on the exact same day.

The flash estimates indices are normally transmitted to Eurostat at end of reference month.

14.1.2. Timeliness of sub-indices

Not applicable.

14.2. Punctuality

Since the March 1997, launch of the HICP release, the HICP for the country groups aggregates has always been published on the pre-announced release dates.

15.1. Comparability - geographical

HICPs across member states aim to be comparable. Any differences at all levels of detail should only reflect differences in price changes or expenditure patterns.

To this end, concepts and methods have been harmonised by means of legislation. HICPs that deviate from these concepts and methods are deemed comparable if they result in an index that is estimated to differ systematically by less than or equal to 0.1 percentage points on average over one year against the previous year (Article 4 of European Parliament and Council Regulation (EU) 2016/792).

15.2. Comparability - over time

HICP data are fully comparable over time. There have been several improvements in methodology with the aim of improving reliability and comparability of the HICP. These changes may have introduced breaks in time series. However, back calculations under the newer standards are frequently performed when the appropriate basic data is available. For instance, the basket of representative items is slightly modified as deemed necessary on a yearly basis. Whenever new items are introduced, a break in time series might be introduced as data might not be comparable over time for certain ECOICOP codes.

15.3. Coherence - cross domain

The HICP and RPI are two separate measures of inflation. The main difference between the two indices is that the HICP takes into account all money spent in Malta and Gozo (domestic concept) irrespective of whether the purchaser is a resident or non-resident, whereas the national CPI takes into account all money spent by the Maltese in Malta and Gozo. The main characteristics that illustrate the differences between the two indices are:

HICP

• 12 Divisions
• Newly significant goods and services introduced every year
• Chain-linked index
• Weights add up to 1000
• Accommodation services and Retirement home services are included
• Regulated by European Commission
• Monitored by Eurostat

RPI

• 10 Groups
• The list of goods and services is based primarily on the HBS
• Fixed-base index
• Weights add up to 100
• Accommodation services and Retirement home services are not included
• Guidelines specified internally
• Monitored by RPI Monitoring Board

15.4. Coherence - internal

The HICPs are internally coherent. Higher level aggregations are derived from detailed indices according to well-defined procedures.

Not available.

17.1. Data revision - policy

The HICP series, including back data, is revisable under the terms set in Articles 17-20 of Commission Implementing Regulation (EU) 2020/1148.

17.1.1. Data revision - policy - national specifics

It is not possible for the RPI to be revised.

17.2. Data revision - practice

The index is revised whenever necessary but there haven't been any revisions in the past 10 years.

18.1. Source data

Please see information under the next points.

18.1.1. Weights

 1. What is the main data source to obtain the HFMCE values?

HFMCE values to derive weights up to the ECOICOP 4-digit level are obtained from quarterly National Accounts (NA) for the first three quarters of year t-1. The fourth quarter must be estimated based on growth rates from year t-2.

HFMCE values for certain items are estimated using other sources rather than NA data, such as Short-Term Statistics (STS) data.

HFMCE values for the ECOICOP 5-digit level are obtained from the Household Budgetary Survey (HBS), which was last carried out in 2015/16.

2. Please describe how the 4th quarter of t-1 is included in the calculations.

Quarter 4 for year t-1 is estimated by applying the change in consumption between Q1 – 3 of year t-2 and Q1 – 3 of year t-1 to Q4 of year t-2 at the level of total consumption.

3. If weights are used below ECOICOP 5-digit level, what are the data sources?

Below the ECOICOP 5-digit level, most sub-digit weights are obtained from HBS data, which is updated once every ten years. In cases where certain items require more frequent updates or new items are added, other data sources are used, such as turnover or import data.

4. Are the weights price-updated?

The weighing scheme is primarily based on the NA expenditures of year t-1 and subsequently price-updated to December of t-1.

18.1.1.1. Compilation at elementary aggregate level

Restricted from publication

18.1.1.2. List of elementary aggregates

Restricted from publication

18.1.1.3. Compilation of sub-index weights

Which adjustments are made to derive the HFMCE used for the weights?

The HFMCE is mainly calculated from the individual consumption expenditure of households minus narcotics, imputed rentals for housing, games of chance, prostitution, life insurance, health insurance, FISIM, net purchases abroad, and pensions. Consumption expenditures are subsequently price-updated with HICP data to derive the HFMCE. The consumption expenditure data is also complemented by turnover, telecommunications and rental market data.

Please provide details for specific product categories that have the biggest changes when compared with the previous weights update exercise.

In 2025, the largest weight increases are found in division 01, ‘Food and non-alcoholic beverages’ and division 12, ‘Miscellaneous goods and services’. The main driver for the increase in division 01 is sub-group 01.1.9 ‘Food products n.e.c’, but 01.2.1 ‘Coffee, tea and cocoa’ and 01.1.8 ‘Sugar, jam, honey, chocolate and confectionery’ also increased significantly. The increase in division 12 largely stems from a significant increase in 12.5.4, ‘Insurance connected with transport’.

The largest decreases in weights are found in division 08 ‘Communications’ and 03 ‘Clothing and footwear’. For division 08, sub-group 08.3.0 ‘Telephone and telefax services’ is the main driver, whereas division 03 is largely pushed down by a decrease in sub-group 03.1.2, ‘Garments’.

18.1.1.4. Price updating

Restricted from publication

18.1.2. Prices

• Please list and briefly describe the data sources used for collecting prices and product specifications.

The main sources of price data are manual price collection (both online and in-shops), email surveys, calls and administrative data.

18.1.2.1. Prices Data Source - detailed information

Restricted from publication

18.1.2.2. Price collection survey

Restricted from publication

18.1.2.3. Administrative data sources

Restricted from publication

18.1.2.4. Transaction data - general information

Restricted from publication

18.1.2.5. Web scraping - general information

Web-scraping is not currently being used, however for several items which are currently being collected manually from the internet, manual price collection will shift to web-scraping in the near future. Most likely, we would be able to collect even more prices than we are doing at present.

18.1.3. Sampling

Geographical

1. Please describe how the sample is stratified geographically.

Not applicable as we have just one sample representing all of Malta. 

2. Are regional indices published?

No since due to our small size, one set of indices represent the whole country.

Outlet

1. Please describe how the outlet sample is drawn for surveys.

The outlets are chosen such that they cover all areas of the country. Turnover data is taken into account for the choice of the outlets.

2. How often is the outlet sample updated?

The sample of retail outlets is deeply checked every year. In addition, when in a certain month an outlet closes or is no longer representative, it is replaced in the following months.

3. What categories of outlets are distinguished?

All outlet types are included.

Sample

1. Please describe how the sample of products is drawn.

The sample of products is drawn based on the information of the HBS, among other surveys, identifying the products most frequently bought by households. Within each subgroup, and according to the weight of expense the specific products are selected. The definitions usually include the type of product, its major features, and relevant additional information to be recorded by the price collectors.

2. How frequently is the sample of products updated?

Annually and kept updated during the year by replacements.

18.1.3.1. Sampling design - locations for survey

1. What is the methodology used for selecting locations where you carry out surveys?

Prices are collected in all areas of Malta specifically the capital of Malta, the north and the south sides of Malta, the center of Malta, and the island of Gozo.

2. What types of locations are included in the geographical sample (e.g., cities, small towns, villages and countryside)?

Not applicable.

3. How often is the sample updated?

Not applicable.

18.1.3.2. Sampling design - outlets

Restricted from publication

18.2. Frequency of data collection

Price data is collected every month.

18.3. Data collection

Each month, prices are collected by price collectors in outlets throughout the country. For food items, electronic devices are used to register prices and all required information for each product. Prices for seasonal items (vegetables, fruit, and fish) are observed twice a month, on separate weeks, in the first 2 weeks of the month. Approximately 40,000 individual prices are collected by price collectors to represent the 530 different goods and services.

18.3.1. Timing of price collection

1. What is the price collection period for survey and administrative sources?

In general, price collection takes place during the first 2 weeks every month.

2. What is the period covered by transaction data?

Mid-month.

3. What is the period covered by large administrative data?

Large administrative data files cover the whole month.

18.3.2. Devices for price collection

Electronic devices are used for field price collection in supermarkets since 2019. Each month, price collectors download a file containing the list of products for which prices must be collected. Prices are organised according to the outlets that must be visited. Price collector can access the price history and the product description. A comments section is used to explain price movements or note any replacements. After price collection is completed, prices are sent to the central office.

18.4. Data validation

Price data is checked by us and any drastic price changes are queried with the price collectors. Items whose price remains static for a long period of time are also queried and confirmed.

Indices have to pass two consistency tests before publishing. Any drastic changes in the index observed from month to month are investigated. Unless an error is detected, an explanation is provided. Moreover, the series of some seasonal items are expected to follow more or less the same pattern over time. When this is not the case, these are investigated accordingly.

18.4.1. Data validation - Survey data

1. Please describe the procedure for detecting survey data entry errors.

All data entry inputting sources (such as booklets) are vetted before data entry is initiated and any particular changes are queried to make sure that they are correct.

2. How is detection of outliers done?

Each individual price change is first checked to ensure all price movements make sense. After entering prices, all the products' annual and monthly rates are also checked individually. 

3. How are errors detected and outliers treated?

Errors are detected during validation checks as stated in the previous point. Outliers are identified for a limited number of sub-indices and removed if necessary.

4. How is the monitoring the consistency of the price information over time done (comparing like with like)?

The price collectors are often reminded to keep consistency of items. In case of substantial changes, we revert back to price collectors to confirm consistency.

5. How is the monitoring the consistency of the price information across similar products in the same period done?

Within an elementary aggregate, the largest price changes are scrutinised. Impact calculations are performed at different levels of aggregation to identify the products with the most influence (upwards or downwards) on the result.

18.4.2. Data validation - transaction data, web scraping and large administrative data

Restricted from publication

18.4.3. Data validation - weights

When analysing the weights, large discrepancies in the expenditure are queried with NA unit. The share of weights is compared with previous years' in order to ascertain the new weights are in line with consumption patterns. Weight is also confirmed by obtaining further data from other sources in order to corroborate the NA data.

18.4.4. Indices

Price movements recorded by indices are checked with prices at the most granular level.  Indices are also benchmarked with the national CPI.  In addition, a benchmarking exercise is also carried out (whenever possible) for certain indices.  Case in point, the accommodation index/price movements recorded are benchmarked with Tourism data. Another benchmarking exercise, carried out on a monthly basis, is the comparison of our price data with Agriculture Unit's data, mainly for fruits and vegetables.

18.5. Data compilation

Please see information under the next points.

18.5.1. Elementary price index formulae

1. What is the rationale for the elementary price index formula?

Our HICP is a Laspeyres-type index covering the ECOICOP/HICP since it measures how much a basket that consumers bought in the base period would cost in the current period.

2. If an alternative formula is used, please provide evidence for the comparability of the index as defined in Regulation 2016/792.

Not applicable. 

The following rules are used for the number of decimals:

• Price observations obtained at the price collection stage are limited to 2 decimal places
• Average prices used in the compilation of indices have at least 10 decimal places
• Weights have at least 10 decimal places
• The compilation and transmission of index figures and rates of change have at least 10 decimal places
• The publication of index figures and rates of change have 2 decimal places and 1 decimal place, respectively

18.5.2. Aggregation of different data sources

As all items at the lowest levels are weighted, in order to aggregate to higher level indices, the sum-products of the indices and the weights are calculated for each COICOP.

18.5.3. Chaining, linking and splicing methods

1. Please describe your chaining and linking methods.

The compilation of the HICP follows the chain linking method, with December of the previous year as the base. Following this process, each index is converted to reference year 2015 = 100.

2. Do you use splicing in your time series? If yes, please explain the method applied.

No, splicing is not used.

3. When was the last time you ‘restarted’ your multilateral indices?

Not applicable.

18.5.4. Quality adjustments and replacements

Restricted from publication

18.5.4.1. Quality adjustment - detailed information

 1. Please provide an overview of all quality adjustment methods used by product group.

The quality adjustment methods that are usually applied by groups of products area:

• Food, medicines, and personal care products:  direct comparison, and quantity adjustments;
• Electronics, cars, motorcycles: hedonic, expert judgement;
• Clothing and footwear: direct comparison, expert judgement and bridged overlap;
• Furniture, household appliances and equipment: expert judgement.
• Restaurants: direct comparison.

2. Please indicate how often each method is used per ECOICOP division as a percentage of all prices.

The unit in a position to quantify the occurences where this methods were applied.

3. Please list the products for which are hedonic quality adjustment methods used.

A hedonic quality adjustment method is used for new motor cars, used motor cars, motorcycles, laptops, tablets, mobiles, and bundles. 

4. Please report any changes implemented in the HICP following the recommendations on bridged overlap.

No changes.

5. What quality adjustment methods are used in the following situations:

• The last price of the replaced (old) product-offer is a reduced price:
• direct comparison (with quantity adjustment whenever deemed necessary) with most suitable replacement if no hedonics are used.
• The first price of the new product-offer is a reduced price:
• direct comparison (with quantity adjustment) with old item if no hedonics are used.
• The first price of the new product-offer is unusually high:
• direct comparison (with quantity adjustment) with old item if no hedonics are used.
• The matched sample of product-offers includes reduced or atypical prices, or it shows a downward price trend during the product life cycle:
  • no bridged overlap is used for such products.

18.5.4.2. Replacements - detailed information

1. What are the rules for selecting the replacement?

There are no formal rules for choosing replacement products, however it is common practice to replace certain items when they are not available on the market for a specific period of time. Price collectors are instructed to collect prices of items that have very similar characteristics (if not the same).

When a product is discontinued but there is another one which is 'directly comparable' to the reference product, the item is replaced.  However, when the two products are not directly comparable we carry forward the price of the product (which is about to be replaced) for three consecutive months while observing the price of a replacement product which is as close as possible to the original product.  If by the third month the product is not found, the replacement product is introduced using suitable quality adjustment method.  

2. Who selects the replacement (price collectors, central or local offices)?

The replacement is chosen by the price collector based on the rules specified above and the opinion of the outlet manager. The office is then in charge of analysing the replacement and deciding whether it should be accepted or not.

18.5.5. Administered prices

Restricted from publication

18.5.6. HICP at constant tax rates

1. Please describe the tax structure levied on products in your country using the European System of Accounts (ESA) 2010 codes.

The following taxes are relevant for the HICP-CT:

• D.211 ‘Value added tax (VAT)’
• D.214 ‘Excise duties’
• D.214 ‘Taxes on insurance premiums’

 2. Please describe the methodology used in the HICP-CT compilation.

The general VAT rate is 18%.  The calculations are performed at the most granular level. The HICP-CT is calculated using the constant-tax prices of the product offers. The elementary aggregates are then combined using the usual HICP weights.

3. Please describe the methodology for scanner data or web scrapped data.

Not applicable.

4. Please explain when tax changes enter into the index when a tax change occurs during the month.

The tax changes enter the index from the month they come into force.

5. Please explain when the tax changes enter the index if a product is sold with both the old and new tax tariff (e.g., tobacco products).

It is possible that tobacco products are sold under new and old tariffs during the same period. In that case, estimates are made using the observed and expected index (or expected price evolution).

18.5.7. HICP flash estimate

The HICP flash estimates are mostly compilated in the exact same way as the HICP, however we have less data available at hand by the time of transmission deadline. Therefore, in order to produce a realistic index which we would expect to be close to the final HICP, some estimations, approximations and/or forecasts are carried out. Depending on the respective case, estimations are sometimes carried out by considering the growth rates of the previous month. Otherwise, the movements of the same month of the previous year are applied to the current month.

18.5.8. Other quality and processing issues

Please see information under the next points.

18.5.8.1. Missing prices

1. What are the main reasons why some prices are not collected?

All necessary price readings are collected for the monthly compilation of indices. There are no missing price readings, but rather missing items which were either unavailable in that particular month, or are becoming obsolete.

2. Please describe your imputation methods.

In these cases, the prices of the missing items are carried forward for the first month. When a product is discontinued but there's another one which is 'directly comparable' to the reference product, the item is then replaced. If a replacement product is significantly different from the original product, the bridged overlap of quality adjustment is used. We also employ the hedonic method of quality adjustment for those products characterised by continuous changes such as cars and communication services.

18.5.8.2. Sales and discounts

1. How are sales and discounts accounted for in prices?

HICP takes account of reductions in prices of individual goods and services if such reductions:

• can be attributed to the purchase of an individual good or service;
• are known to the purchaser at the time when they enter into the agreement with the seller to purchase the product concerned;
• can be claimed at the time of purchase or in a short enough time that the purchaser is willing to increase the bought quantities.

The Commission Regulation No 2602/2000 on price reductions was implemented before 2002. The Guidelines for the treatment of reduced prices in the HICP are observed. The products affected by this regulation are those affected by fashion and continuous changes in stocks. Whenever old stock is about to be replaced by new stock, sales persons are prompted by price collectors about the change, thus enabling them to record the price reduction correctly in the HICP.

In the case of clothing and footwear, reductions are taken into consideration whenever items are on sale for more than one month (excluding seasonality cases). In the case of other items, the reduction in prices is taken into consideration immediately.

2. How are supermarket price reductions accounted for in the HICP?

Prices obtained from supermarkets frequently have the following types of discounts:

• some cents off the item price
• group discounts such as buy 2 get 1 free
• discounts such as getting 25% or 33% extra at no extra cost

in such cases, quantity adjustments are carried out to ensure like with like comparability of the prices.

Whenever a price from numerous (supermarket) outlets is reduced for one particular month, the reduction is taken into account. Also, whenever the price of a particular item is on offer or reduced from one outlet for more than two months, then the reduction will be considered. 

3. Please list the discounts that are not captured in the HICP.

The index calculation does not include prices that are reduced due to the good’s expiration date (e.g., food products) and discounts in relation to loyalty card ownership are also not considered.

18.5.9. Specific product groups

Please see information under the next point.

18.5.9.1. Seasonal items

1. What product groups are treated as seasonal?

Seasonal products are treated according to the requirements of the Implementing Regulation (EU) 2020/1148.

Minimum standards are applied to seasonal products within the following ECOICOP classes and groups:

• 01.1.3 Fish
• 01.1.6 Fruit
• 01.1.7 Vegetables
• 03.1 Clothing
• 03.2 Footwear
• 07.3.3 Passenger transport by air
• 09.6 Package holidays
• 11.2.0 Accommodation services

2. What are the methods used in the terms of Implementing Regulation (EU) 1148/2020?

The implementation of the Regulation 330/2009 (implemented in 2013 and repealed and replaced by Commission Implementing Regulation (EU) 1148/2020), required changes to the index compilation procedures as the indices of Fish, Fruit and Vegetables were compiled using variable weights.

18.6. Adjustment

Please see information under the next point.

18.6.1. Seasonal adjustment

The HICP is not seasonally adjusted.

None.

The harmonised index of consumer prices (HICP) is a consumer price index (CPI) that is calculated according to a harmonised approach. It measures the change over time of the prices of consumer goods and services acquired by households (inflation).

Due to the common methodology, the HICPs of the countries and European aggregates can be directly compared.

8 August 2025

The main statistical variables are price indices.

The basic unit of statistical observation are prices for consumer products.

Please see the information under the next points.

Please see the information under the next point.

HICP is a monthly statistics.

The overall accuracy of the HICP is deemed to be high especially in terms of the methodological soundness of price and weight sources and compliance to commission regulations. 

No particular test procedures are in place to test the overall accuracy, however, all changes are analysed and significant price differences are checked thoroughly. Missing prices are detected at the vetting stage. Detected errors after publication are corrected with the issue of an errata corrige.

Data processing flows are documented.

The following units are used:

• Index point
• Percentage change on the same period of the previous year (rates);
• Percentage change on the previous period (rates);
• Percentage share of the total (weights).

Please see information under the next points.

Please see information under the next points.

Data is disseminated on a monthly basis.

The full set of HICPs is published each month according to a pre-announced schedule, usually between 15 and 18 days after the end of the reference month. Each year, the January news release is published at the end of February to allow for the annual update of the weights of individual product groups and the relative country weights of Members States in the country-group aggregates.

The euro area flash estimate is published on the last working day of the reference month or shortly after that.

HICPs across member states aim to be comparable. Any differences at all levels of detail should only reflect differences in price changes or expenditure patterns.

To this end, concepts and methods have been harmonised by means of legislation. HICPs that deviate from these concepts and methods are deemed comparable if they result in an index that is estimated to differ systematically by less than or equal to 0.1 percentage points on average over one year against the previous year (Article 4 of European Parliament and Council Regulation (EU) 2016/792).

HICP data are fully comparable over time. There have been several improvements in methodology with the aim of improving reliability and comparability of the HICP. These changes may have introduced breaks in time series. However, back calculations under the newer standards are frequently performed when the appropriate basic data is available. For instance, the basket of representative items is slightly modified as deemed necessary on a yearly basis. Whenever new items are introduced, a break in time series might be introduced as data might not be comparable over time for certain ECOICOP codes.