Inflation in Austria in April, 2022 increased to 7.2% — the largest increase in prices since October, 1981.
As Austrian households can attest to, the price of just about everything in the country has increased to such an extent it is having a big impact on the ability of many people to afford basic living expenses.
The latest inflation in Austria was reported by Statistics Austria last week, with a report of the percentage increase in prices on a plethora of goods and services.
These include a large increase in both transportation and housing spending, which accounted for three-fifths of the current inflation rate.
Transportation prices rose by an average of 17.7%, which was up another 1.8% from March, 2022, and was largely a result of higher fuel prices.
Other goods and services that have seen a large increase in price in Austria are as follows:
— Used cars are up 19.2%, with new cars up by 8.0% year on year
— The cost of airline tickets has increased by 45% since April, 2021
— House hold energy prices increased by an average of 28.8%, with housing, water and energy up an average of 9.4%.
— Natural gas prices are up 68.7%, and electricity prices up 8.5%
— Food and non-alcoholic beverages increased in Austria in April, 2022 by an average of 8.4%, with some food products increasing 15-20% year on year
— The price of meat in Austria was particularly badly impacted, with the April inflation rate at 10.7%.
— Bread, cereal, cookies, cakes etc. saw an average price of 8.2%, with some brands increasing by upwards of 20% compared to April, 2021.
— Milk, cheese and egg prices in Austria increased by an average of 6.9%
— The price of fruit and vegetables in Austria has also increased quite markedly, with an average of 6.9% for fruit, and 10.1% for vegetables
— Coffee prices are up 11.4%, and soft drinks are up 8.7% on average
— The price of meals in Austrian restaurants and cafes have increased by 6.4%, hotel rooms are up 6.4% and the prices of services in the leisure and culture sector rose by 3.2%
Austria’s 7.2% inflation rate in April, 2022 having a big impact on basic living expenses
Considering the 7.2% inflation rate in Austria in April, 2022 comes right after the disastrous Covid-19 policies of the current government caused thousands of businesses to go bankrupt, and tens of thousands of people to lose their jobs, such a high inflation rate — particularly when it comes to basic living expenses — could not have come at a worse time for many.
With the Russian invasion of Ukraine affecting Ukraine’s ability to export much of the country’s agricultural products, food stuffs like wheat, barley, corn and sunflower oil are in much shorter supply and, therefore, higher in price.
Some analysts expect the price of these items to skyrocket in coming months, and shortages to also begin to occur. The longer the war continues, the more likely this will be.
In other words, with an inflation rate of 7.2% in Austria in April, 2022, nobody should be surprised if that rate increases even further as 2022 progresses.