Tuesday, August 16

Inflation in the eurozone sets a new record and reaches 8.6% in June

Inflation in the eurozone has climbed another five tenths in June and has stood at 8.6% in annual rate, according to data published this Tuesday by the EU statistical office, Eurostat.

June has thus become the month with the highest year-on-year inflation so far this year, after the increase in prices was 5.1% in January, 5.9% in February, 7.4% in March and April and 8.1% in May.

A year earlier, in 2021, the inflation rate in June was 1.9%.

Year-on-year inflation in the European Union at 27 reached 9.6% in June 2022, compared to 8.8% in May. In 2021, the rate was 2.2%.

The lowest rates were recorded in Malta (6.1%), France (6.5%) and Finland (8.1%). By contrast, the highest rates were recorded in Estonia (22%), Lithuania (20.5%) and Latvia (19.2%). Spain registered 10.2%.

Compared to May, annual inflation fell in two Member States and increased in 25. In June, the largest contribution to the euro area annual inflation rate came from energy (+4.19 percentage points), followed by food, alcohol and tobacco (+1.88 points), services (+1.42 points) and non-energy industrial goods (+1.15 pages).

However, core inflation, which excludes energy, alcohol, tobacco and fresh food due to more volatile prices, stood at 3.7% last month, which represents a decrease of one tenth compared to the Month of May.

Energy repeated in the sixth month of the year as the main factor in the increase in prices, with an annual growth rate of 42%, which represents an increase of more than two points compared to the previous month.

For its part, the price of processed foods, alcohol and tobacco increased by 8.2% in June (compared to 7% in May), while that of unprocessed foods increased by more than two points, from 9% in May to 11.2% last month.