France Inflation August 2019


France: Inflation remains stable in August

August 30, 2019

Consumer prices rose 0.5% month-on-month in August, contrasting July’s 0.2% month-on-month drop, according to a preliminary estimate released by the Statistical Institute (INSEE). The increase largely reflected a rebound in prices for manufactured goods as well as higher prices for tourism-related services and fresh foods.

Inflation remained stable at 1.1% in August, while annual average inflation, ticked down to 1.4% from 1.5%.

Harmonized consumer prices increased 0.5% month-on-month in August (July: -0.2% month-on-month), while harmonized inflation inched down to 1.2% from 1.3% in July. In turn, annual average harmonized inflation moderated to 1.6% from 1.8% a month prior.

FocusEconomics Consensus Forecast panelists expect harmonized inflation to average 1.3% in 2019, which is unchanged from last month’s forecast. For 2020, panelists see harmonized inflation averaging 1.4%.

Author:, Economist

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