![[Previous]](/gifs/previous.gif)
![[Contents]](/gifs/up.gif)
|
|
|
In July, the harmonized consumer price index for the EEA was 101.8 (1996=100), an increase of 0.9 per cent since January 1997. The increase over the past 12 months was 1.7 per cent. Price inflation in the EEA is lower than in the United States, measured by the change over the last 12 months.
Price inflation in the European Economic Area in the first half of 1997 was lower than in the same period last year. From January to July 1997 Spain and Norway have had the lowest price inflation, while Greece, Finland, Sweden and Germany had the highest growth.
With the exception of Greece and Norway, inflation in the first half of 1997 was higher in northern Europe than in southern Europe, and Greece in particular has seen a rapid decline in its rate of inflation. It appears that countries in southern Europe have gained control over inflation. As of July 1997 all EU counties, with the exception of Greece, comply with the Maastricht treaty's inflation requirements.
Germany was one of the countries with the strongest increase in prices in the first half of 1997, measured by the change from January to July. This is probably a consequence of the weak German currency. Finland and Sweden have also seen rising price inflation in 1997, after a period with very low inflation rates. In Sweden the relaxation of dues and taxes precipitated a drop in prices in 1996, while rising prices for food and tobacco are behind price developments in 1997.
Increasing growth in consumer prices
Figures for the last months show tendencies toward increasing price inflation in a number of countries, particularly in northern Europe. Sweden, Finland and Germany had slightly higher price inflation in the first half of the year compared to the same period last year.
Weekly Bulletin issue no. 37, 1997