Fuel Prices Spur Iraqi Inflation In 2006

(epa) January 28, 2007 -- Reports say Iraqi's inflation hit an average of 70 percent last year, largely due to soaring fuel prices.

The government had set an inflation target of 20-25 percent for 2006.

But the consumer price index jumped by more than 70 percent, while the cost of petroleum products and electricity spiked by more than 80 percent.

When volatile energy prices are stripped out, inflation comes to between 30 and 35 percent.

(AFP)