Eurozone inflation comparison infographic
Graphic charts eurozone inflation over the past 12 months.
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ECONOMY

Consumer price inflation at record high in Europe

By Ninian Carter

June 7, 2022 - Inflation in the 19-member eurozone hit a record 8.1% year-on-year in May, a record since the currency was introduced in 2002.

The European Central Bank (ECB) is set to end its bond-buying stimulus programme at a meeting in Amsterdam on June 9, as consumer price inflation in the eurozone (officially known as euro area) soars to an all-time high.

Eurozone consumer prices rose by 8.1% year-on-year in May, a record since the single currency was launched and well above the ECB’s target of 2%.

The gap between the highest and lowest inflation rates among the currency bloc’s 19 member states has widened severely.

The scale ranges from Malta, with an inflation rate of 5.6% in May, to Estonia, where inflation hit 20.1% last month – a difference of 14.5%.

The ECB is expected to hike interest rates in the coming weeks, driven by rising food and energy prices, fuelled by pent-up consumer demand during the Covid-19 pandemic, and the war in Ukraine.

The eurozone is a monetary union within the European Union, where members have adopted the euro as their primary currency and legal tender.

Sources
PUBLISHED: 07/06/2022; STORY: Graphic News
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