ROME, July 31 (Xinhua) -- Italy's inflation rate rose in July compared to previous months, according to preliminary government data released on Wednesday. However, the year-on-year increase in prices was still smaller than the equivalent figure in the eurozone.
ISTAT, the National Statistics Institute, reported that prices in July were 1.3 percent higher than the same period last year, marking the highest increase in a year. This is only the second time in 2024 that the year-on-year increase has exceeded one percent.
Before July, the inflation rate had increased by exactly 0.8 percent in five of the previous six months, with the only exception being a 1.2-percent increase in March. The last time prices saw a larger monthly increase in Italy was in August 2023, when they were 5.4 percent higher than the same period the previous year.
Despite the rise in prices in July, the increase was still smaller than in the 20-nation eurozone, where prices were estimated to be 2.6 percent higher than in July 2023, according to preliminary data from Eurostat. Italy's inflation rate has consistently remained below that of the eurozone for more than a year.
A slowdown in prices for industrial energy products was the main factor driving the inflation rate higher compared to previous months, with prices in that sector rising 11.3 percent in July compared to a 3.5-percent increase in May, ISTAT reported.
In addition to the inflation data, ISTAT reported that industrial turnover declined by 0.9 percent in volume and 0.4 percent in value in May compared to the previous month. While lower industrial turnover signals a potential drag on economic growth, it also puts downward pressure on prices.
