Consumer prices in the euro area remained unchanged in May compared to the same month in 2008, reported Bloomberg referring to definitive data Statistical Office of the European Union. Zero inflation in the region recorded the first time since 1996.

published data coincided with the preliminary as well as the forecast of analysts.

In April, annual inflation stood at 0.6%.

Slowing inflation in the euro contributed to the decline in energy prices compared to last year, as well as a decrease in producer prices on a background of demand reduction.

European companies cut spending and laid off employees in order to survive in a recession, say experts.

We are witnessing a slowdown in the region and the deteriorating situation in the labor market will increasingly have a negative impact on the level of consumer spending, contributing to a fall in prices - noted economist Dresdner Kleinwort in Frankfurt-am-Main Rainer Gyuntermann. - Inflation may to reach minimum levels in the next two to three months, then return to the positive dynamics in the second half of this year.

Consumer prices rose in May to 0.1% on the April level, while experts do not expect to change them.

European Central Bank, June 3, lowered the forecast of inflation for this year to 0.3% from 0.4%. In 2010, the growth of this index may accelerate to an average of 1%, are expected in the CB.