French consumer prices rose at their fastest pace since 1985 in October, official data showed Friday. This was driven by higher energy, food and manufactured goods prices.
Statistics agency Insee said year-on-year growth in prices reached 6.2% this month, based on preliminary data showing a fresh rise in inflation after slowing in August and September.
Food prices in particular rose by about 12%, hitting less wealthy households who spend a large portion of their monthly budgets in supermarkets.
Meanwhile, energy prices have risen by almost 20% despite government interventions to limit consumer billing, keeping overall inflation below levels seen in EU neighbours. Did.
Russia’s war on Ukraine and the curtailment of gas supplies to Europe have sparked an energy crisis on the continent – at the same time many of France’s vital nuclear power plants are offline for maintenance.
Inflation in France reached 7.1% year-on-year, as measured using the Harmonized Consumer Price Index (HICP) measure recommended by the European Central Bank.
The Frankfurt-based ECB on Thursday announced another sharp rate hike of 0.75% as it sought to keep inflation in check across the 19-country euro zone.
Central Bank Governor Christine Lagarde said: “We will see more rate hikes in the future. There is still room to cover.”
Insee releases its final October inflation rate in mid-November.
https://www.expatica.com/fr/general/french-october-inflation-highest-since-1985-758422/ French October inflation hits highest since 1985