PARIS, Nov 13: Annual inflation in France surged to 2 per cent in October, its highest reading since May 2006, in response to increases in the prices of food and energy, official figures showed on Tuesday.
The national statistics institute INSEE said household consumer prices rose 0.2 per cent in October from the previous month.
Food prices were up 0.5 per cent in October while the index of energy prices gained 0.7 per cent after rising 0.6 per cent in September, reflecting near record crude oil rates.
Prices of oil products jumped 1.1pc in October and 8.1 per cent over the previous 12 months.
While inflation is still relatively moderate in France, “an increase in the price of food and energy, coupled with regular rent hikes, will continue to fuel perception of a loss of household purchasing power,” said analyst Mathieu Kaiser of the BNP-Paribas bank. —AFP
