Inflation jumped after countries emerged from Covid lockdowns and it has soared since Russia invaded Ukraine, with the IMF expecting consumer prices to rise by 8.3 percent globally this year.
As much of Europe bakes in a third heatwave since June, fears are growing that extreme drought driven by climate change in the continent's breadbasket nations will dent stable crop yields and deepen the cost-of-living crisis.
The ECB has unveiled a new crisis-fighting tool to counter an "unwarranted" jump in borrowing costs for more indebted eurozone governments as it hikes its interest rates for the first time in over a decade.
The European Central Bank will raise its interest rates on Thursday for the first time in over a decade, but the bank is already under pressure to do more amid record inflation.
The European Commission has slashed growth forecasts for the eurozone, saying the consequences from the war in Ukraine were continuing to destabilise the economy because of record high inflation
Inflation has surged back to levels not seen in many developed economies since the 1970s and 1980s. Economists and central bankers at the European Cental Bank's conference in Portugal warn it will take time before price rises cool.
Coronavirus, Defence and security, Economy, Energy, Food and agriculture, Health, Migrants, Infographic
Since Russia's invasion of Ukraine, the list of Europe's woes keeps growing as it battles rising food and energy prices and continued disruption caused by the Covid-19 pandemic
If he wasn't making good money smuggling irregular migrants to the EU by sea, Ibrahim himself might have joined the growing exodus from Lebanon