In November, the Czech Republic experienced a marginal improvement in its European inflation ranking, moving from the fifth to the sixth position among the 41 monitored European countries, according to an analysis by the investment platform Portu. This shift is attributed to a decrease in year-on-year consumer price increases from October’s 8.5% to 7.3% in November, as reported by the Czech Statistical Office (CSÚ).

The analysis highlights the substantial influence of the austerity tariff on this placement. Excluding this impact, the Czech Republic would have secured the 18th position, compared to the 16th position in October. The calculation of total inflation in November was also affected by the inclusion of the government’s austerity energy tariff as a reduction in electricity a year ago, influencing the year-on-year inflation rate to be 4.7%, according to CSÚ.

Among the European countries, Serbia recorded the highest inflation at 8.5%, followed by Romania (8.07%), Iceland (8%), Hungary (7.9%), and Russia (7.5%). Notably, Germany is approaching the European Central Bank’s two percent inflation target, with a rate of 3.2%. Meanwhile, Slovakia, Poland, and Austria report inflation rates of 7.07%, 6.5%, and 5.4%, respectively.

Denmark registered the lowest inflation in Europe at 0.6% in November, with Belgium, Italy, and Latvia also reporting low rates at 0.76% and 1%, respectively.

In the eurozone, inflation fell to 2.4% in November, reaching the lowest level since July 2021, according to the first estimate. The highest inflation rate in the eurozone was 10.6% in October of the previous year. The United States is also expected to see a slight decrease in November’s year-on-year inflation, dropping to 3.1% from October’s 3.2%. The evolving inflation rates across European nations underscore the economic challenges and variations within the region.

Article by Prague Forum