Ireland¿s inflation rate of 4.5 per cent is the highest in the euro zone and is running at over twice the average for the rest of the zone, official figures show today.
Euro zone inflation jumped to 2.1 per cent in August year-on-year, Eurostat said today, exceeding the European Central Bank's two per cent ceiling and underscoring the view the bank would keep rates on hold for a while.
Portugal recorded the second highest inflation rate at 3.9 per cent. Greece and the Netherlands are joint third with 3.8 per cent.
Germany, Europe's largest economy, had the lowest inflation rate with one per cent.
Core inflation, which excludes food and energy, was up 2.5 per cent year on year from 2.4 per cent in July.
The inflation data come amid signs that a long awaited European economic recovery may not be in sight.