Inflation in the Azores accelerated in April, with consumer prices rising 2.39 percent year-over-year, according to the latest definitive figures released by the Azores Regional Statistics Service (SREA).

Although the increase represented a rise of 0.25 percentage points compared to March, inflation in the Region remained significantly below the national Portuguese rate of 3.35 percent, leaving the Azores nearly one percentage point beneath the countrywide average.

The data suggests that while inflationary pressures continue to shape daily life across the islands, the Azores remain relatively more stable than mainland Portugal in several key sectors.

In the broader and more stable twelve-month measure of price evolution, average inflation in the Azores reached 2.08 percent, slightly above the 2.06 percent recorded in March. Nationally, the same indicator stood at 2.44 percent.

The twelve-month average — often viewed by economists as a more reliable long-term measure because it smooths temporary or seasonal fluctuations — continues to indicate moderate but persistent price growth across the archipelago.

Core inflation, which excludes unprocessed food products and energy prices, also rose slightly in the Azores, reaching 1.60 percent over the past twelve months. Yet the most intense price pressures continued to come from food-related sectors.

Unprocessed food products registered a twelve-month average increase of 5.97 percent, underscoring the continued impact of food inflation on household budgets throughout the Region.

Energy prices, meanwhile, showed a somewhat softer trend. The twelve-month average variation for energy products declined to 2.92 percent in April, down from 3.15 percent in March.

By category, the strongest annual price increases over the past year were recorded in the sectors of restaurants and accommodation services, which rose 7.22 percent, followed by healthcare at 3.50 percent and educational services at 3.38 percent.

The data reflects the growing pressure being felt particularly in tourism-related sectors, where strong demand, labor shortages, and operating costs continue to influence prices throughout the islands.

At the opposite end of the spectrum, the sharpest declines were registered in information and communication services, which fell 2.55 percent over the twelve-month period, followed by clothing and footwear and alcoholic beverages and tobacco.

Looking specifically at year-over-year inflation for April alone, food prices remained among the principal drivers of cost increases.

Unprocessed food products rose 5.44 percent compared to April 2025, while energy prices experienced a particularly notable reversal. After recording a slight negative variation in March, energy products jumped to a 4.23 percent annual increase in April, substantially increasing their contribution to overall inflation.

Restaurants and accommodation services once again posted the strongest annual gains, rising 6.59 percent year-over-year, followed by hygiene and personal care services, social protection, and educational services.

The only category showing a negative year-over-year variation was information and communication services.

According to SREA, the principal contributors to inflationary pressure in the Azores continue to be food and non-alcoholic beverages, transportation, and restaurants and accommodation services.

Monthly inflation figures also revealed continued upward movement in April, though at a slower pace than nationally.

Compared to March, consumer prices in the Azores increased 0.84 percent during April, below the national monthly increase of 1.35 percent. Even so, the data suggests that households across the islands continue to experience steady pressure on everyday expenses.

When excluding food and energy products, monthly inflation slowed considerably to 0.68 percent — less than half the rate recorded in March.

The category with the sharpest monthly increase was again restaurants and accommodation services, which climbed 3.53 percent during April alone, while information and communication services registered the strongest monthly decline.

For the Azores, the numbers reveal a delicate balance.

On one hand, inflation remains more moderate than in mainland Portugal, suggesting a certain degree of price stability within the archipelago. On the other, persistent increases in food costs, tourism-related services, transportation, and energy continue to weigh heavily on family budgets in a region where salaries remain among the lowest in the country and where insularity itself amplifies the cost of daily life.

In island economies dependent upon imports, transportation, and fragile supply chains, inflation is never experienced merely as a statistical indicator. It becomes part of everyday existence — visible at supermarket counters, fuel pumps, restaurant tables, and household bills across the Atlantic islands.

Translated and adapted from a story in Diário Insular, José Lourenço-director.