PARIS, May 29 (Xinhua) -- France's consumer price index (CPI) is expected to rise by 2.4 percent year on year in May, after already rising by 2.2 percent in April, according to a preliminary data released on Friday by the National Institute of Statistics and Economic Studies (INSEE).
In its provisional estimate, INSEE said the acceleration in inflation was once again driven by rising energy prices. As in March and April, the increase was mainly caused by a sharp rise in gas prices.
The institute noted that prices of services were expected to rise year on year, though at a more moderate pace. Food prices were projected to increase at the same rate as in April.
On a monthly basis, consumer prices are expected to increase by 0.1 percent in May, marking a fourth consecutive monthly rise, following a 1.0-percent increase in April.
According to INSEE, the monthly increase was mainly driven by higher energy and food prices. Energy prices were boosted by rising gas prices, although petroleum product prices were expected to decline slightly. Prices of manufactured goods were also expected to rise slightly.
The Harmonised Index of Consumer Prices (HICP), used for comparisons across the eurozone, is expected to rise by 2.8 percent year on year in May, up from 2.5 percent in April. Monthly, the index is projected to increase by 0.1 percent, after a 1.2-percent rise in the previous month.
France's gross domestic product (GDP) contracted by 0.1 percent in the first quarter from the previous quarter, according to revised data released by INSEE on Friday, compared with an initial estimate of zero growth published in April.
Commenting on the latest economic data, French Economy Minister Roland Lescure said the French government remained vigilant without being alarmist despite weaker growth and higher inflation. Quoted by French news channel BFM TV, Lescure said inflation remained "contained, notably compared with our European neighbors." ■