France has hit a record high in inflation this year. French consumer prices are rising at the fastest rate since 1991, a record high for the country. A recent Reuters article cited data from the state statistics agency INSEE to show that June’s annual inflation rate jumped by 0.8%, the second-highest rate since France began to use the EU’s calculation methods in the early 1990s. The national consumer price index was 5.8% year-on-year.
Inflation in France is now at a record high of 5.8%, up from a previous record of 5.7% in May. The rise in prices was driven by energy and food prices, while the overall harmonised index of goods and services remains stable at 3.2% in the past month. Inflation in the eurozone has been running at a high since late last year and the European Central Bank is expected to raise rates again in July and September.
This high inflation has put pressure on France’s economy and pushed up fuel prices and people’s purchasing power. People with the least money to spend and without a car are especially affected. The French inflation rate has reached a record high of 6.5% for June, adding to already-existing economic pressures on the country’s second-largest economy. Macron has promised to take action to combat the high inflation in France and increase pensions to offset the rising costs. However, his party did not get a majority in the parliament.