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After peaking in January, inflation in the European Union has been on a downward trend in February and March. Preliminary data published on Tuesday this week by the European statistical office Eurostat show that prices in the eurozone fell by one tenth of a percentage point in March to 2.2% compared with 2.3% in February. This is the same percentage as in Spain, placing it in line with the average for the euro nations.
Looking at the main components of inflation, the fall in the price of energy (-0.7%, compared with 0.2% in February) and services (3.4%, down from the 3.7% in the previous month) stand out. Non-energy industrial goods remained stable at 0.6% and food, alcohol and tobacco rose from February by two tenths of a percentage point to 2.9%.
By country, France recorded the lowest inflation (0.9%), followed by Luxembourg and Ireland at 1.5% and 1.8% respectively. At the other end of the scales were Estonia at 4.3% (the country with the highest inflation in the Eurozone), then Belgium, Latvia and Lithuania, all three with an inflation rate of 3.6%.
Tuesday also saw the release of February's unemployment rate, which fell by one tenth of a percentage point in February to 6.1% in the eurozone. In absolute terms, this means that 70,000 people ceased to be unemployed in the second month of the year across the eurozone. Unemployment also fell at the European Union level, with an unemployment rate of 5.7%, one tenth of a percentage point lower than in January.
Eurostat notes that Spain remains the country with the highest rate of unemployment in the eurozone and the EU, and the only one above double digits at a rate of 10.4%. Spain is followed by Greece and Estonia, with an unemployment rate of 8.6% and 7.7% respectively. In contrast, the countries with the lowest unemployment rates were Poland (2.6%), Malta and the Czech Republic (both at 2.7%).
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