Inflation in Austria highest since 1981

Inflation in Austria has jumped to its highest level in over 40 years, media reported on Wednesday citing data from the country’s federal statistics agency Statistics Austria.

 “In April 2022, consumer prices again increased significantly compared to last year – by 7.2%. We saw such a high rate of price growth in Austria for the last time in October 1981. Then the price of oil jumped sharply due to the Iran-Iraq war. Now, along with fuel and energy prices, food prices are the decisive factor,” the agency’s CEO Tobias Thomas said in a statement.

According to the agency’s calculations, transport costs increased by an average of 17.7% after having already jumped by 15.9% in March. The growth is attributed to higher fuel prices, which spiked 49.1% in April. This also hit airfares, which rose by 45% last month. Household energy costs also skyrocketed, increasing by almost 29%, while food prices surged by 8.4%.

This week’s data shows that the cost of an average weekly shopping basket rose 14% in April compared to last year.

READ MORE: UK consumer prices reach 40-year highs

Austria is among a growing number of Western states to suffer from soaring consumer prices. Inflation in Britain hit a 40-year high last month at 9%, while prices have also been growing at record-breaking speed in the US, Germany and other nations. The spike in prices follow the introduction of economic sanctions against Russia in response to its military operation in Ukraine. The measures were meant to destabilize Russia’s economy, but they appear to have backfired on nations that imposed them.

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