Annual inflation in June dropped slightly to 6.2% but a rise in the cost of dairy products pushed food prices higher. 

The annual rate of inflation measured by the Harmonised Index of Consumer Prices was down from the 6.3% that was recorded in May. 

According to the National Statistics Office, the highest annual inflation rates in June were registered in food and non-alcoholic drinks (11.8%) and housing, water, electricity gas and other fuels (7.6%).

However food registered the largest increase at 1.99 percentage points higher. 

In June, Malta Dairy Products announced an increase in prices, saying the company could no longer absorb the constant increase in production and operational costs. 

For the first time in four years, the cost of Benna's fresh milk increased. 

The second largest impact was measured in the restaurants and hotels index, up 1.24 percentage points, mainly because of the higher prices of restaurants. 

Housing, water, electricity, gas and other fuels rose by 0.73 percentage points, mainly on account of house maintenance services.

The lowest annual inflation rates were registered in clothing and footwear (0.5%) and communication (1%).

No downward impacts on annual inflation were registered.

In June, the annual rate of change registered by Malta’s HICP was 6.2%, which was 0.7 percentage points higher than the rate in the euro area.