Inflation in the eurozone accelerated to 3.8% in September reaching its highest level in three years.
That was up from 3.2 % in August, according to a flash estimate published on Friday by the European statistics office Eurostat.
The September rate was almost double the European Central Bank’s official 2% target, however, analysts surveyed by Bloomberg had expected a smaller increase to 3.7%.
Energy prices were the main factor behind the rise, as they continued to climb amid the ongoing conflict in the Middle East. Energy inflation stood at 18.8% in September, up from 14.3% in August.
Services prices rose by 3.2%, while food, alcohol and tobacco were 1.4% more expensive. Industrial goods prices increased by 1.1%.
Core inflation, which excludes energy, food, alcohol and tobacco, came in at 2.5%, compared with 2.4% in August.
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In recent months, the ECB has tightened monetary policy by raising interest rates twice to 2.5%. Further increases have not been ruled out.
The central bank is using higher interest rates to curb inflation by making borrowing more expensive, with the aim of reducing demand in the economy.
In Belgium, Eurostat estimated inflation at 4.6%, the seventh-highest rate in the eurozone.
Eurostat uses a different calculation method from Belgium’s national statistics office, Statbel. Earlier this week, Statbel said inflation had risen to 4.69%, the highest level since May 2023.
