The energy price inflation rate in member countries of the Organisation for Economic Co-operation and Development (OECD) in March jumped 8.6 percentage points in a month. The rapid surge in oil prices due to the Middle East war was a factor.
According to a report recently published on the 10th by the OECD, consumer price inflation across all OECD member countries in March was 4.0%. It fell from 4.1% in September last year to 3.3% in January and 3.4% in February this year, then rose 0.6 percentage points in March.
In March, the year-over-year increase in OECD energy prices was 8.1%, the largest in 3 years and 1 month since February 2023 (11.9%). Compared with the previous month (-0.5%), the monthly increase in the rate was 8.6 percentage points, the biggest in 4 years and 11 months since April 2021 (9.0 percentage points), when the base effect from the oil price plunge caused by COVID-19 was at play. The all-time high was in November 2009 (11.6 percentage points), influenced by the base effect from the oil price slump due to the 2008 financial crisis and the economic recovery.
The report said the Middle East war that broke out at the end of February was a key factor in rising energy prices.