Euro inflation rates rise again

The Eurozone inflation rate rose again in June to the 2% ceiling rate set by the European Central Bank.

The Irish interest rate at 3.8% was the highest recorded among EU member states with Greece and Portugal next at 3.6% and 3.4% respectively.

Germany had the lowest rate at 0.9% according to Eurostat, the European Union's statistics office

May's figure had fallen to 1.9%, the first drop below the ceiling rate in almost a year.

Commentators are now forecasting that the ECB could raise interest rates towards the end of 2003.

Speculation was fueled earlier today by comments by German bundesbank president Ernst Welteke, who said he would not bet on further falls in Eurozone interest rates.