Inflation decreased slightly in October; Still high at 16.8%

Inflation in October was 16.8 percent on an annual basis, Statistics Netherlands (CBS) reported based on the harmonized European measurement method. A month earlier, the yearly currency depreciation was 17.1 percent.

Inflation has been very high for some time because of sharply increased gas and energy prices. The higher energy costs are also increasingly affecting food prices.

The figure according to the harmonized European method is always higher than Statistics Netherlands’ own calculation, which it will publish later. The CBS method includes housing costs, like rent. The European method doesn’t. The European method was devised to make it easier to compare the inflation of different euro countries.

Statistics Netherlands calculates energy prices based on new contracts. That means that the actual inflation is lower because by no means do all households sign a new energy contract every month. The stats office is working on a different way to calculate energy prices more accurately and with more detail. Statistics Netherlands expects to still be busy with this in January.