The annual inflation rate in the euro area fell again in October to 2.9%, according to the preliminary estimate published this Tuesday by Eurostat, the lowest value recorded in two years and compared to 4.3% of September.
Preliminary data published this Tuesday by the statistical office of the European Union indicates that the annual inflation rate in the euro area (measured by the Harmonized Index of Consumer Prices) is expected to be 2.9% in October 2023 , compared to 4.3% in September of this year and compared to 10.6% in October 2022.
This is the lowest value recorded in more than two years, after a similar annual inflation rate of 3% was recorded in August 2021.
In October this year, Portugal had an inflation rate of 3.3%, according to Eurostat’s preliminary estimate.
The community statistics service points out that, to the rate of 2.9% recorded in October in the euro area, the components of food products, alcohol and tobacco contribute (7.5%, compared to 8.8 % in September), followed by services (4.6%, compared to 8.8% in September). up to 4.7% in September), non-energy industrial products (3.5%, compared to 4.1% in September) and energy (-11.1%, compared to -4.6% in September).
The inflation rate has been falling in recent months after registering historical values due to the reopening of the economy after the Covid-19 pandemic, the energy crisis and the economic consequences of the war in Ukraine, but still above the target of 2 %. set by the European Central Bank (ECB) for price stability.
To achieve this, the ECB has tightened monetary policy with successive increases in interest rates, now stopped by maintenance.
In its summer macroeconomic forecasts, published in mid-September, the European Commission revised downwards the inflation forecast for this year in the euro zone, to 5.6%, stating that the restrictive monetary policy “is working”, but warned of income losses and worsened the projection. by 2024.
Source: TSF
