Eurozone Inflation holds Steady

The Eurozone (also called Euro Area, Eurosystem or Euroland) refers to the European Union member states that have adopted the euro currency union. The European Central Bank is responsible for monetary policy within the zone.

According to an Article by the BBC, the British Broadcasting Corporation (BBC), Education, hotels, restaurants, tobacco and Alcohol are the main drivers of Inflation for the countries of the Eurozone. The European Central bank has a target of 2 percent and the combined inflation rate of the 13 member states remained unchanged at 1.9 percent.

Analysts believe that the news was unlikely to disuade the ECB from raising rates, because of oil prices and the growth of the economies still continue to pose risks. They also said that the ECB might raise interest rates from its current 4 percent to 4.5 percent.