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Inflation of the euro area has grown weaker than anticipated

EUROPEAN UNION (OBSERVATORY) –¬†Inflation in 19 eurozone countries grew in March less than previously thought, the European statistical bureau Eurostat reported, as previously unprocessed food prices increased less than expected, reports Reuters.

A downward revision points to the difficult task facing the European Central Bank (ECB) to increase inflation to a target level of “about 2%.”

Prices increased by 1.3% in March compared to the same period last year, whereas previously the agency Eurostat said it was growing by 1.4%. Compared to the previous month, prices increased by 1%.

Prices for food products, which according to early estimates rose by 0.9% in March, after the revision showed an increase of 0.8%. Services and energy prices have contributed most to growth, but energy prices fell in March compared to February.

Without energy and unprocessed food prices (the most volatile components), prices rose by 1.3% compared to the month and a year earlier. The ECB defines this as an indicator of core inflation.