OECD says inflation becoming faster in developed countries

 
Ben Southwood
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INFLATION edged up across the OECD group of developed economies, according to data released yesterday, with upward pressure from fuel and downward pressure from food.

Inflation was two per cent in the year to August, the OECD said, up from 1.9 per cent in the year to July.

This was driven by a boost in energy price inflation, up from 0.7 per cent in the year to July, to some 3.5 per cent in the year to August.

But the overall rise would have been higher if not for the reduced growth in food prices, which rose 2.1 per cent in the year to August, down from 2.3 per cent in July.

The biggest risers were Germany, where inflation was up to 2.1 per cent, from 1.7 per cent, and the US, where prices rose 1.7 per cent in the year to August, up from 1.4 per cent in the year to July.

Meanwhile inflation in Canada and the UK slipped by 10 basis points.