Pace of inflation slowed in December in France

INSEE warned that the consumer price index should reach a peak of 7 % in early 2023, before retreating more durably from March.

MO12345LEMONDE with AFP and Reuters

The rhythm of inflation over a year has slowed down in December in France, according to a first estimate published Wednesday January 4 by the National Institute of Statistics and Economic Studies ( INSEE ). The consumer price index (IPC) has an increase of 5.9 % over the twelve months at the end of December, against 6.2 % at the end of November.

The final consumer price index of December, the only valid for indexing of private contracts, life annuities, food pensions or for the evolution of the minimum wage for example, will be disseminated on January 13.

The drop recorded in December could however be only provisional, while INSEE warned last month that the consumer price index (IPC) should reach a peak of 7 % in early 2023, before Recall more permanently from March.

the weight of energy

Over one year, inflation continues to be pulled by the rise in energy prices, which jumped 15.1 %, and by that of food products, which increased by 12.1 %, while that the increase in prices of manufactured products remains limited to 4.6 %, and that of services is even more contained, to 2.9 %.

Over one month, prices fell 0.1 % in December compared to November, against an increase of 0.3 % in the previous month, due to the decline in energy prices at the end of the year .

The rebound in inflation, anticipated by INSEE for the beginning of the year, is notably linked to the increase in 15 % of regulated energy prices scheduled for the start of 2023, those of gas to be noted in January and those of electricity in February.

Finally, the harmonized consumer price index (IPCH), which serves as a comparison basis at European level, slowed down more strongly than the IPC in December, the increase over a year falling to 6.7 % , against 7.1 % in November.

/Media reports cited above.