High energy, food prices: OECD area inflation at 4.3% in August

By Tuba Sahin

ANKARA (AA) - Continuing its upward trend with high energy and food prices, annual inflation in the Organization for Economic Cooperation and Development (OECD) area reached 4.3% in August.

The annual figure was up from 4.2% in July, the OECD said in a statement on Tuesday.

Energy prices in the OECD area rose at a faster pace in August with 18%, up from 17.4% in July, reaching the highest rate since September 2008.

Food inflation also jumped to 3.6% this August in OECD area, compared with 3.1% in July.

Excluding food and energy, OECD annual inflation remained stable at 3.1% for the third consecutive month, it noted.

Annual inflation rose sharply in the UK to 3% in August, from 2.1% the previous month, in France to 1.9% from 1.2%, and in Canada to 4.1% from 3.7%.

Germany and Italy posted a slight rise in annual inflation compared to July with 3.9% and 2%, respectively.

The OECD said annual inflation eased slightly but remained high in the US at 5.3%, after reaching 5.4% in July.

"The new Japanese 2020-base CPI continued to show overall price deflation in August at minus 0.4%, with prices falling at a slightly faster pace than in July with minus 0.3%," it highlighted.