Inflation in the Eurozone rose above the European Central Bank’s 2% target rate in July as rising energy costs drove consumer prices higher.
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The consumer price index showed that the core inflation in the 13-member region rose at an annual rate of 2.2% in July, up from 1.99% in June. A year earlier, the rate had been 0.4%.
From the larger European Union, the yearly headline inflation increased at 2.5%, up from 2.2% in June and from 0.9% last year.
Energy costs were responsible for 1.34% of the advance in inflation as oil prices rose to cyclical highs during July.
The highest annual rates of inflation were recorded in Estonia, up 4.9%, Poland, and Hungary, both with inflation measured at 4.7%. Malta had the lowest rate at 0.3%, while Greece measured just 0.7%.
At 2.2%, the annual inflation rate was the highest level recorded since 2018, and the increase was unlikely to worry the central bank.