Ireland’s inflation rate is higher than Eurozone record

DUBLIN: Eurostat says inflation in Ireland is the highest in the Eurozone. Ireland’s rate of inflation is higher than the Eurozone’s record of 8.9%. Figures reveal that consumer goods prices in Ireland have risen by 9.6% over the last year.

Inflation here is mostly caused by rising fuel costs. Fuel prices continue to rise, with a current 50% price hike compared to last year. However, Eurostat said it was down 1.6% from the previous month.

Eight countries had lower inflation rates than Ireland and ten countries had higher rates. The greatest price rises was in Estonia, where inflation reached 22.7%, and the lowest in Malta, at 6.5%.

At the same time, data from Eurostat show that the European economy has been resilient in the face of rising energy and food prices. France and Spain have shown strong growth in tourism, according to Eurostat.

Growth in the eurozone reached 0.7% in the second quarter, the agency said. Experts say it is much stronger than expected. Eurostat said the growth rate reached 8.9 percent in July despite higher inflation.

Meanwhile, professor Alan Barrett, Chief Executive Officer of the Economic and Social Research Institute, said it is difficult to gauge whether Ireland is heading towards a recession.