France is anticipated to see a more moderate increase in the consumer price index (CPI) at 2.3 per cent year-over-year (YoY) in March 2024, according to provisional estimates from the National Institute of Statistics and Economic Studies (INSEE), following a 3.0 per cent rise in February. This expected deceleration is attributed primarily to a slight reduction in energy prices, offering some relief from the previous month's significant inflation.

On a monthly basis, consumer prices are also forecasted to decelerate, with a projected increase of 0.2 per cent in March 2024 compared to the 0.9 per cent rise in February. The decrease in energy prices plays a crucial role in this slowdown, contrasting with the accelerated prices of manufactured products. The increase in the prices of manufactured goods, notably in clothing, is expected due to the seasonal price adjustments following the winter sales period.

The harmonised index of consumer prices (HICP) mirrors this trend. It is anticipated to register a year-on-year increase of 2.4 per cent in March 2024, a decrease from February's 3.2 per cent. Similarly, on a month-to-month basis, the HICP is expected to see a rise of 0.3 per cent in March, showing a deceleration from the 0.9 per cent increase in the previous month.

Fibre2Fashion News Desk (DP)

France CPI forecast to rise 2.3% YoY in March 2024

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