Inflation in the euro zone hit a new record in August, at 9.1% annually, Eurostat announced on Wednesday, putting pressure on the European Central Bank (ECB), which should soon raise its interest rates. Inflation had already reached 8.9% in July for the 19 countries that share the single currency. These figures are the highest recorded by the European Statistics Office since the start of publication of the indicator in January 1997.
Consumer price inflation has hit a new all-time high every month since November 2021, as the war in Ukraine fuels rising energy and food prices. To calm the phenomenon, the ECB should raise its rates significantly at its next meeting on September 8, after an initial rise in July.
8.8% in Germany, 9% in Italy
Among the components of inflation in the euro zone, energy prices again experienced the largest annual increase, although they slowed down slightly, to 38.3% (compared to 39.6% in July). Food prices (including alcohol and tobacco) rose 10.6%, after 9.8% in July. Those of industrial goods and services increased in August by 5% and 3.8% respectively, also accelerating compared to previous months.
By country, the lowest inflation was recorded in France (6.5%). It reached 8.8% in Germany, 9% in Italy and 10.3% in Spain, according to harmonized data calculated by Eurostat. The Baltic countries had the highest rates: 25.2% in Estonia, 21.1% in Lithuania, and 20.8% in Latvia.
Source: BFM TV
