EU country hit by worst inflation since 1970s

Inflation in Belgium jumped to 9.94% in August, just short of the 1976 record of 9.96%, data from the country’s Statbel statistics agency showed on Tuesday.

Analysts largely attribute the spike to a surge in energy prices, which accounts for roughly half of the total inflation. 

“Energy inflation is now running at 49.81%, compared to 49.11% last month and 55.99% in June. Electricity is now 57.2% more expensive than a year ago. Natural gas is 106.9% more expensive than in August last year. The price of domestic heating oil, calculated based on a smoothed 12-month moving average, has increased by 52.6% in one year. Motor fuels are 21.0% more expensive than last year,” the agency stated.

Food prices in the country also surged 9.71%, but they make up only 1.92% of the overall inflation. 

Apart from energy, prices on bread and cereals, confectionery, meat, alcohol, personal care products and hotel services have grown the most.

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