Inflation in France fell below 1% for the first time in four years in February, according to preliminary data from the statistics agency INSEE released on Friday.

The country's harmonised inflation rate, which is adjusted for comparison with other eurozone nations, stood at 0.9% year-on-year in February, INSEE reported.

This marks the first time the rate has been below 1% since February 2021.

A survey of 16 economists by Reuters news agency had predicted a 1.2% increase in the harmonised consumer price index for February, with estimates ranging from 0.9% to 1.7%.

Price increases slowed down after a 1.8% rise in January.

The noticeable slowdown is primarily due to a sharp decline in energy prices, particularly electricity, which saw a significant drop compared to the substantial rise in February 2024, the statistics agency said.

Furthermore, the rise in service prices slowed, as did increases in manufactured goods and tobacco, although to a lesser degree. Food prices saw a slight acceleration, INSEE stated.

On a month-on-month basis, consumer prices remained stable in February, following a 0.2% increase in January.

The rebound in manufactured goods prices following the winter sales was counterbalanced by a decline in electricity prices, especially regulated tariffs, which dropped by 15%.

Food prices saw a slight decrease month-on-month, while service prices experienced a slight acceleration, INSEE went on to add.

“Looking ahead, we expect France’s headline and core readings to climb again in March, largely reflecting the influence of unfavourable base effects, rather than increasing near-term cost pressure. Thereafter we think further declines will be recorded, taking inflation to a low in the summer months,” according to economists at Bloomberg Economics, Jean Dalbard and Jamie Rush.