Euro zone inflation slowed sharply in March to 0.7% year-on-year, the European Union statistics said today, confirming its earlier estimates. 

Eurostat also confirmed its earlier estimates for core inflation figures in the 19-nation single currency bloc, which also point to weaker price increases last month. 

Overall inflation fell to 0.7% from 1.2% in February, Eurostat said, further away from the European Central Bank's target of below, but close to 2% over the medium term. 

An indicator that excludes unprocessed food and energy prices, which the ECB calls core inflation and watches closely in policy decisions, showed prices grew 1.2% in annual terms, down from 1.3% in February, in line with previous estimates. 

An even narrower inflation measure also excluding alcohol and tobacco prices, that many market economists look at, slowed to 1% year-on-year in March from 1.2% in February, Eurostat said confirming its earlier estimates.