Inflation accelerated in Portugal in the month of August, according to data published by the National Statistics Institute. The year-on-year rate of the Consumer Price Index rose to 3.3%, reflecting a significant increase compared to previous months.
INE indicates that the increase in energy product prices explains almost entirely this acceleration of inflation. Fuels were the main responsible for the rise in prices during this period.
This worsening occurs in a context where energy prices have been exerting pressure on the Portuguese and European economy, affecting the cost of living for families. The acceleration of inflation may have implications for economic policy and for the decisions of the European Central Bank regarding interest rates.
