Euro zone inflation rose sharply in April, hitting levels not seen since November, as food prices continued to surge on the back of Europe's livestock industry crisis.
European statistics office Eurostat said its April harmonised index of consumer prices rose 2.9 per cent year-on-year compared with 2.6 per cent in March and 1.9 per cent in April 2000.
This compares to a April rate of inflation in Ireland, announced last week, that rose to 5.6 per cent from 5.4 in March.
Irish inflation has eased from a 16-year high of 7 per cent last November despite rises in the past three months.
Today’s data, in line with analysts' forecasts, was released just a week after the European Central Bank shocked markets with a quarter point cut in its key lending rate to 4.5 per cent on the grounds that inflation would fall below its 2 per cent tolerance threshold next year.
The closely watched core rate - which excludes volatile energy, food, alcohol and tobacco prices - was well below the headline figure, rising 1.9 per cent compared with 1.8 per cent in March.
ECB officials last year said they believed November's 2.9 per cent inflation rate was a peak in the price cycle but were forced to revise that view this year after the discovery of new mad cow and foot-and-mouth cases pushed up meat and substitute food prices across the Continent.
Additional reporting:
