Signs of improvement
In November, the Czech Republic saw a slight improvement in the European inflation ranking. Out of a total of 41 European countries monitored, inflation fell to sixth place, down from fifth place recorded in October. This figure emerges from an analysis conducted on ČTK’s investment platform. According to data published today by the Czech Statistical Office (ČSÚ), annual consumer price growth in the Czech Republic slowed to 7.3 percent, down from the 8.5 percent recorded in October.
Conditioning Factors
The analysis suggests that this ranking is mainly influenced by the effect of a cost-reducing tariff. Without this element, the Czech Republic would have been ranked 18th, while in October it was ranked 16th. Similar to October, the calculation of total inflation in November was also influenced by the fact that a year ago statisticians had included a state energy-saving tariff as a discount on electricity in the calculation. By eliminating this element, year-on-year inflation in November would have been 4.7 percent, according to the CZSO.
Overview of European and International Inflation
Serbia had the highest inflation in Europe, standing at 8.5 percent, followed by Romania (8.07 percent), Iceland (8 percent), Hungary (7.9 percent) and Russia (7.5 percent). In the Czech Republic’s neighboring countries, inflation remains relatively high, with Slovakia at 7.07 percent, Poland at 6.5 percent and Austria at 5.4 percent. In Germany, at 3.2 percent, inflation is already approaching the 2 percent target set by the European Central Bank.
According to initial estimates, inflation in the euro zone fell to 2.4 percent year-on-year in November, reaching its lowest level since July 2021. In comparison, the highest inflation rate in the euro zone had been 10.6 percent in October last year. U.S. annual inflation for November will be released Tuesday, with a forecast for a slight decline to 3.1 percent from 3.2 percent in October.
In China, consumer prices fell 0.5 percent in November, leading the country to experience year-on-year deflation. This drop in prices is mainly attributed to an abundant harvest, leading to an increase in supply and subsequent decrease in food prices. Port analyst Lukáš Raška pointed out that China had already faced deflation in October and July.
The current environment reflects a varied global inflation landscape, with different nations facing unique challenges and opportunities in dealing with economic pressures and fluctuations in consumer goods prices.
Source : https://www.ceskenoviny.cz/ekonomika/
Image source: https://www.eticasgr.com/storie/approfondimenti/inflazione
Graphic source: https://storyset.com/
