Inflation in the eurozone increased in March to 1.3% year-on-year, after reaching 0.9% in January and February, reflecting an economic improvement after a year of crisis related to the coronavirus. The analysis of the components of inflation in March shows that it was primarily driven by energy prices, which jumped by 4.3% year-on-year, according to the European Statistics Office, Eurostat, in a statement.
The inflation rate was particularly high in Germany (+2%), the largest economy in the eurozone, while France remained close to the average (+1.4%).
Regarding the acceleration of consumer prices, the ECB wants to be reassuring. It only slightly raised its inflation forecasts for the eurozone in March for 2021 (1.5%) and 2022 (1.2%), still far from the target close to 2% aimed by the institution.
