Inflation Slows to 3.6% in Ireland for October as Energy Prices Drop
Éire / Ireland
In Ireland, the inflation rate decelerated to 3.6% in October, primarily due to a decline in energy prices, according to data released by the Central Statistics Office (CSO). The EU Harmonised Index of Consumer Prices (HICP) for Ireland is estimated to have increased by 3.6% in the 12 months leading up to October and by 0.2% since September. This is in contrast to the 5% inflation rate recorded in Ireland in the 12 months leading to September and a 4.9% annual increase observed in the eurozone during the same period.
Analyzing specific components for Ireland in October, energy prices are reported to have fallen by 0.3% for the month and decreased by 4.2% over the 12 months until October. Food prices, on the other hand, are estimated to have grown by 0.2% in the past month and have risen by 6.7% over the course of the last year. When excluding energy and unprocessed food, inflation is estimated to have risen by 4.6% since October of the previous year. Transport costs saw an increase of 1.2% for the month and 2.1% over the 12 months until October. The European Central Bank (ECB) decided to maintain its interest rates unchanged on Thursday, emphasizing its commitment to keeping rates high to combat persistent inflation, which remains above its 2% target.
The inflation in the eurozone has moderated to 4.3% in September, down from 5.2% in August and a record high of 10.6% in October of the previous year, though it remains significantly above the ECB's target. ECB President Christine Lagarde highlighted that "inflation is still expected to stay too high for too long," emphasizing the need for continued vigilance in the face of strong domestic price pressures.