Annual Inflation Hits 2% in Italy

According to the preliminary report released by the National Statistics Office (INE) on Monday, Italy's annual inflation rate climbed to 2% in March. This marks a noticeable increase from the previous rate of 1.6%.

Key Drivers Behind the Inflation Surge

The rise in consumer prices was largely fueled by non-regulated energy products, with additional contributions from tobacco, unprocessed food, and services related to communication and recreation. Interestingly, the report noted a decrease in prices for regulated energy products and transport-related services during the same timeframe.

Core Inflation Rates Remain Steady

The annual core inflation, which excludes energy and unprocessed food, held steady at 1.7%. Meanwhile, inflation excluding energy saw a slight uptick to 1.8%.

Monthly Consumer Price Index Update

The harmonized index of consumer prices (HICP) experienced a 1.6% increase month-over-month, a change largely attributed to the conclusion of winter sales on clothing and footwear.