Inflation rocketed to 2.7% across the debt-ravaged euro zone in March, faster than forecast, acording to revised official data released by the EU today.
Annual inflation across the 17 states in the euro zone had initially been estimated at 2.6%, but up from 2.4% in February, the rate is now significantly above European Central Bank hopes for medium-term inflation at below 2%. A little over a year ago the rate was just 0.8%.
The Eurostat data showed transport costs (up 5.6%) and housing (up 5.1%) having the highest sectoral rates. But the 'largest upward impacts' on the headline rate stemmed from fuel for transport, heating oil and electricity and gas, the European Union underlined.
Ireland had the lowest rate at 1.2%, and Romania the highest at 8%.
Euro zone trade deficit trend hardens
The euro zone logged a €1.5 billion trade deficit with the rest of the world in February, underscoring already heavy year-on-year reverses, EU data showed today.
The first official estimate of the external trade balance for the euro zone, compared to a €1.4 billion surplus in February 2010. January had already returned a €15.6 billion deficit, half as big again as the shortfall a year earlier.
Eurostat said that seasonally adjusted euro zone exports rose by 1.6% and imports by 1%.
The deficit for the 27-state European Union, which also includes major non-euro economies in Britain and Poland, hit €9.6 billion, with the same worsening trend compared to a year ago showing through in January data.
