As I have already noted on previous occasions, the rise in the Harmonised Index of Consumer Prices (HICP) which we have observed over recent months stems, to a large extent, from the combined effects of both oil price and exchange rate developments. The annual rate of change in the HICP rose to 2.0% in February 2000, from 1.9% in the previous month.
The rate of inflation on producer prices also rose further in February 2000, mainly in connection with rising prices for intermediate goods. In the course of the past few weeks oil prices have declined.