Eurozone sees record high inflation of 7.4%

Brussels: The EU zone that uses the Euro as currency with 19 countries, has hit a new high of inflation, mainly owing to skyrocketing fuel prices triggered by the Ukraine war. This has hit household budgets heavily, and indicates a slowing economic recovery from the latest outbreaks of COVID-19, PTI reported.

Annual inflation hit 7.5% for April, the highest since statistics started in 1997 and the sixth record in a row surpassing the previous record of 7.4% from March. Energy prices showed an unusual spurt of 38%, a testimony to how the war and the accompanying global energy crunch are affecting the eurozone's 343 million people.

Speculations that the war may create a disruption in the supply of gas and oil from Russia, the world's largest oil exporter, have pushed prices for oil and natural gas higher. That coincides with the revival of global energy demand amid recovery from the pandemic downturn and a cautious approach to increasing production from oil cartel OPEC and allied countries including Russia.