Inflation in March: highest since 1994

Prices in Portugal increase by average of 5.3%

Inflation in Portugal in March has been registered at 5.3% – a 1.1% leap on the level tagged in February.

The news came from national statistics institute INE today, which admits inflation now is at the “highest rate since June 1994”.

By excluding non-transformed food and energy products from calculations, the rate comes down to 3.8% – but that is still a 0.6% increase on levels registered in February.

Price rises have affected some products much more than others. For example, non-alcoholic drinks and food increased from between 7.2% and 11% in March (when these values were ‘only’ 4.7% and 8.5% in February), while clothing barely registered any changes during March (after a 3.2% increase in February).

It was nonetheless the fourth consecutive month in which all sectors saw/ brought in price increases.

Taking the EU as a whole (the Harmonised Index of Consumer Prices, or HICP), inflation is running at 5.5%, which represents the highest rate since the inception of the HICP.

natasha.donn@algarveresident.com