The European Central Bank warned inflation rates may be sporadic before reaching a 2% annual goal in 2025.
by Gabriel Tynes
Courthouse News
(CN) — Annual inflation in the eurozone and European Union is drifting away from a 2% goal established by the European Central Bank in 2024. According to a report released Monday by Eurostat, the annual inflation rate climbed to 2.5% in the eurozone in January and 2.8% in the broader European Union.
The rates have been climbing since they dipped to three-year lows in September 2024. At the time, ECB President Christine Lagarde predicted the rates would climb again for several months before reaching the bank’s 2% medium-term target in 2025.
The highest rates in January were recorded in Hungary (5.7%), Romania (5.3%), and Croatia (5%), while the lowest rates were recorded in Denmark (1.4%) and Ireland, Italy, and Finland, all of which saw 1.7% annual inflation.