Euro zone inflation: March 2022 ECB policy
Christine Lagarde President, European Central Bank
Daniel Roland | Afp | Getty Images
Last month saw a record-breaking increase in living costs within the Euro zone. This raises further questions about the sustainability of the currency. European Central BankThese rapidly increasing consumer prices can be stabilized.
According to Eurostat preliminary data, headline inflation was 7.5% in March according to an annual basis. This information was released Friday by Europe’s statistical office Eurostat.
When the numbers are needed, it’s a good time to have them. Russia’s invasion of Ukraine has brought renewed economic uncertainty, with some economists wondering whether the euro zone will enter a recession in 2022 — something that European officials have so far refused to say.
The Prime Minister of Italy Mario DraghiFor example, he said that the invasion of Ukraine will cause economic harm but not recession.
The euro zone has taken unprecedented measures to punish Russia for its decision to invade Ukraine — such as blocking the sale of luxury goods — and these sanctions are having repercussions on the euro zone economy itself.
In addition, there are other side-effects from the war, most notably higher energy prices — which are driving up inflation across the bloc.
This news item is currently in breaking news and will soon be updated.