Belgium inflation forecast raised; wage indexation triggers pulled forward

The Belgian Federal Planning Bureau revised its inflation forecasts upward, now expecting 3.7% average inflation this year and next, up from 3.6% and 3.4% respectively. The next wage indexation pivot indices are now expected to be exceeded in November 2026 and April 2027, earlier than previously projected. This accelerates automatic wage and benefit adjustments, potentially feeding a wage-price spiral and pressuring Belgian competitiveness.