Life is again more expensive in Belgium

Inflation in Belgium has increased for the first time in four months, but remains negative. The index of consumer prices went up by 0.34% to minus 0.78%. The biggest price hikes were for fuel, heating oil, gas and electricity.
Over the last three months inflation in Belgium has been negative: i.e. the prices have been dropping rather than climbing. The slight increase in prices this month was expected because the negative inflation was a consequence of the high energy prices last year. A peak was reached in July (2008). The price of a barrel of oil fell just short of 150 US dollars, whereas the price has now dropped to €75 (about 108 dollars).
Inflation is calculated based on a comparison of the same month one year before. For the month of July we had -1.7% inflation. Compared with August this is a drop of 0.78%. In other words, the prices are continuing to drop but they are not dropping as fast as they were last month.

Inflation in Belgium has been dropping since September 2008. A couple of months ago it went down below zero.

The increase in inflation in August is mostly attributed to higher fuel prices on the energy market. Heating oil, gas and electricity have gotten more expensive. On the other hand fruit, vegetables and travel abroad have become somewhat cheaper.