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French Economy Minister Says High Inflation in France to Persist in Early 2023

PARIS (Sputnik) - French Economy and Finance Minister Bruno Le Maire said on Wednesday that the inflation situation in the country will not improve until after early 2023.
Sputnik
"The improvement of the inflation situation should not be expected until after the beginning of 2023... However, at the moment, we do not have on our agenda a scenario in which inflation in France could reach double digits," Le Maire said in a televised appearance on the France 5 broadcaster.
Le Maire said in early June that the country had reached the peak of inflation. In May, France experienced a 5.2% increase in prices of goods and services year-on-year, with inflation rising to 6.1% in June year-on-year — the highest since July 1985.
France's trade deficit reached a new high of 71 billion euros ($70.74 billion) due to soaring energy prices and inflation.
Economy
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Gas prices in Europe have skyrocketed throughout the year, reaching $3,000 per 1,000 cubic meters in August amid waning Russian energy supplies. Russian energy giant Gazprom announced its plans to reduce supplies via a key gas pipeline starting July 27 to no more than 33 million cubic meters per day, 20% of the pipeline's nominal capacity.
On Wednesday, gas futures prices in Europe rose 11% and reached $3,122.7 per 1,000 cubic meters, surpassing the $3,000 threshold for the first time since March, according to data from the London-based ICE exchange.
On Friday, Gazprom announced that gas transportation via Nord Stream would be suspended for three days, from August 31 to September 2, due to the scheduled maintenance of the only working gas pumping unit at the Portovaya compressor station.
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