French Inflation Rate Lowest Since December 2009


The annual inflation rate in France slowed to 0.1 percent in December of 2014 from 0.3 percent in the previous month, mainly due to lower cost of energy and food.

Year-on-year, lower costs were seen for petroleum products (-10.6 percent), medical products (-3.0 percent), food (-0.6 percent), manufactured products (-1.1 percent) and transport (-0.2 percent). In contrast, prices increased for tobacco (+3.5 percent), other services (+2.2 percent), actual rentals and services for dwellings (+1.5 percent) and clothing and footwear (+0.2 percent). 

On a monthly basis, the consumer price index rose 0.1 percent, after a 0.2 percent decline in December. The highest price increases were reported for transport (+2.2 percent), other services (+0.6 percent), actual rents (+0.2 percent). In contrast, prices decreased for petroleum products (-4.6 percent), medical product (-0.1 percent) and fresh food and food excluding fresh food (-0.1 percent respectively).

In December, annual core inflation declined by 0.1 percent after a 0.2 percent drop in the preceding month.

The harmonized index of consumer prices in December accelerated to 0.1 percent respectively on annual and monthly basis.

French Inflation Rate Lowest Since December 2009


Insee l Rida Husna l rida@tradingeconomics.com
1/14/2015 4:10:42 PM