Inflation in the eurozone last month breached the European Central Bank's (ECB) target for the first time in two years, data released Friday showed, according to dpa. The European Union's statistics office Eurostat confirmed that annual consumer prices in the economy built around the euro came in at 2.2 per cent in December, boosted by rising energy costs. Inflation stood at 1.9 per cent in November. A year earlier the rate was 0.9 per cent. Speaking following a meeting of the ECB's rate-setting council Thursday, bank chief Jean-Claude Trichet warned Thursday about the risk of rising inflation, as a result raising concerns about an eventual interest rate hike. But Trichet told his regular monthly press conference inflation should moderate toward the end of the year, saying the bank should this year meet its target of an annual inflation rate of below, but close to, 2 per cent. Friday's Eurostat figures confirmed preliminary figures released earlier this month. The eurozone's membership expanded to 17 on New Year's Day after Estonia adopted the euro. Eurostat said annual inflation in the broader European Union nudged up to 2.6 per cent in December from 2.3 per cent in November. EU inflation stood at 1.5 per cent in December 2009.
