"yearly, year by year, returning every year," 1590s, from annual (adj.) + -ly (2).
Entries linking to annually
annual adj.
late 14c., "appointed by the year;" c. 1400, "occurring or done once a year," from Old French annuel "yearly" (12c.) or directly from Medieval Latin annualis "yearly," corresponding to Latin annalis as adjective form of annus "year."
This is reconstructed to be from Proto-Italic *atno- "year" (compare Oscan akno- "year, holiday, time of offering"), from PIE *at-no- "which goes," also "a year" (as "going around"), suffixed form of root *at- "to go" (source also of Sanskrit atati "goes, wanders," atamana- "to travel, wander," atya- "steed, runner"). The root also has Germanic derivatives meaning "a year," such as Gothic aþnam (dative plural) "year."
-ly 2
common adverbial suffix, forming from adjectives adverbs signifying "in a manner denoted by" the adjective, Middle English, from Old English -lice, from Proto-Germanic *-liko- (cognates: Old Frisian -like, Old Saxon -liko, Dutch -lijk, Old High German -licho, German -lich, Old Norse -liga, Gothic -leiko); see -ly (1). Cognate with lich, and identical with like (adj.).
Weekley notes as "curious" that Germanic uses a word essentially meaning "body" for the adverbial formation, while Romanic uses one meaning "mind" (as in French constamment from Latin constanti mente). The modern English form emerged in late Middle English, probably from influence of Old Norse -liga.