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Irish inflation hits 5.1%, highest level since 2007

Published 11/11/2021, 11:42
Updated 11/11/2021, 11:46
© Reuters. FILE PHOTO: A general view of a crowded street while retail reopens fully as coronavirus disease (COVID-19) restrictions continue to ease after an extensive lockdown period in Dublin, Ireland, May 17, 2021. REUTERS/Clodagh Kilcoyne/File Photo

DUBLIN (Reuters) - Irish annual inflation rose to its highest level since 2007 last month, with prices jumping by 5.1% compared to 3.7% in September after sharp increases in transport and energy costs, Central Statistics Office data showed on Thursday.

© Reuters. FILE PHOTO: A general view of a crowded street while retail reopens fully as coronavirus disease (COVID-19) restrictions continue to ease after an extensive lockdown period in Dublin, Ireland, May 17, 2021. REUTERS/Clodagh Kilcoyne/File Photo

Rises of 15.4% in transport and 10.8% in electricity, gas, water and other fuel costs represented the largest year-on-year increases. Overall prices were 0.7% higher month-on-month, the fastest monthly rise in seven months.

The finance ministry forecast last month that inflation will peak at average 4.5% in the final quarter before falling below 2% next year. However, it said the rate could be closer to 3.5% during 2022 if there were higher energy prices, prolonged global supply chain disruptions and greater short-term economic demand.

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