Eurozone official inflation at 2.7 pct in February

AFP, Wednesday 14 Mar 2012

Rate exceeds European central bank's target for the 15th month running, with rising transport and housing costs the major causes

Eurozone inflation reached 2.7 per cent in February, detailed official figures showed on Wednesday, although the biggest economies in Germany and France posted lower figures.

The rate given by the European Union's data agency marked the 15th month running during which inflation exceeded the European Central Bank's target of below but close to 2.0 per cent, having peaked at 3.0 per cent in September.

France and Germany each posted 2.5-per cent annual inflation, with the figure down to 1.9 per cent in Spain, where new austerity measures are kicking in on top of rampant unemployment and a deeper recession than in much of the rest of the 17-nation bloc.

Transport and housing costs put the biggest pressures on inflation, especially those for motor and heating fuels, the data showed.

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