01 December 2022,   23:42
Eurozone inflation reaches new record high of 10% in September

Inflation in the eurozone reached double-digits and yet another new record high in September, according to preliminary data, as the negative consequences of Russia’s war in Ukraine continue to inflict a heavy toll on European economies, writes Euronews.

Eurostat, the European Union’s statistics agency, estimates that inflation in the 19-country euro area reached 10.0% in September, up from 9.1% in August.

The latest climb in prices was fuelled by energy - the cost of which is now 40.8% higher than during the same month last year - while prices for food, alcohol and tobacco are believed to have soared by 11.8% year-on-year.

Baltic countries remain the most severely impacted with the inflation rates at 24.2%, 22.5% and 22.4% in Estonia, Lithuania and Latvia respectively. The lowest rate of 6.2% is observed in France with Malta and Finland following (7.3% and 8.4%).

The latest figures were released just as EU energy ministers reached an agreement at an extraordinary meeting in Brussels to curb high electricity prices.

These include a mandatory electricity demand reduction, a cap on the revenues of non-gas electricity producers (also known as inframarginal producers), and the capture of so-called excess profits from fossil fuel producers - the latter two of which aim to see billions of euros redistributed to vulnerable households and businesses”, - reads the article.