finance

Eurozone inflation rises to 2.5% as energy costs surge after Iran conflict

Higher energy costs tied to the Iran conflict pushed eurozone inflation to 2.5% in March, exceeding the ECB 2% target and prompting EU calls for voluntary fuel savings.

Mar 31st 2026 · Iran

Insights

  • Eurozone inflation rose to 2.5% in March from 1.9% in February.
  • Energy prices increased 4.9% year on year due to disruptions linked to the war involving Iran.
  • Core inflation excluding energy and food fell to 2.3%, down 0.1 percentage point.
  • Fresh food prices rose 4.1%, 0.5 percentage point less than the prior month.
  • Brent crude traded around $107 per barrel, up from about $72 before the attacks on Iran.
  • The European Commission urged member states to consider voluntary cuts in oil and gas use and EU energy ministers will meet to review supplies.