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Netherlands sees inflation rate rise to 1.6% in November 2023

The inflation rate in the Netherlands stood at 1.6 per cent in November 2023, a notable increase from October’s rate of minus 0.4 per cent, according to the flash estimate of Statistics Netherlands (CBS). Despite the rise in the annual inflation rate, consumer prices in November actually decreased by 1.1 per cent compared to October 2023. This highlights that a higher inflation rate does not necessarily imply an increase in prices on a month-to-month basis.

The influence of energy prices on inflation has been significant. In November, the inflation rate excluding energy was 4.1 per cent, a decrease from 5.1 per cent in October. Earlier in 2023, the inflation rate excluding energy and motor fuels had peaked at 8.1 per cent in February and March.

The fluctuation in energy prices, particularly gas, electricity, and district heating, has been a key driver of these inflationary trends. These prices had surged in the latter half of 2022, with a peak in October 2022, contributing to the high inflation rate during that period. However, current energy prices in the CPI are substantially lower than they were in 2022. Since inflation is calculated based on price developments relative to the same month in the previous year, this has resulted in a lower inflation rate now.

In November 2023, the Netherlands’ inflation rate rose to 1.6 per cent, up from minus 0.4 per cent in October, per CBS.
Despite this annual increase, consumer prices fell by 1.1 per cent from October.
Energy prices greatly influence inflation; excluding energy, the rate was 4.1 per cent, down from 5.1 per cent.
The HICP for November was 1.4 per cent.

Furthermore, according to the harmonised index of consumer prices (HICP), the flash estimate for November stands at 1.4 per cent, up from minus 1 per cent in October. This estimate is another key indicator of price trends and inflation rates in the Netherlands, offering a broader view of the economic landscape.

Fibre2Fashion News Desk (DP)


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