Euros (2)

The eurozone fell sharply into deflation in February, the European Central Bank (ECB) has said.

The ECB said inflation was -0.2% in February, following a revised increase of 0.3% in January. The eurozone's official statistics agency, Eurostat, said it was the first fall in inflation since September, and even then it fell by just 0.1 percentage point.

The figures show that energy prices were accountable for the majority of the sharp decline. Prices fell 8% in February, compared with a drop of just 5.4% in January.

Earlier this month, ECB boss Mario Draghi claimed its policies aimed at boosting prices were working. Economists now believe the sharp fall could prompt the ECB to announce even more stimulus measures into the eurozone economy.

The ECB's €60 billion quantitative easing programme was initially due to end in September this year, but the Bank extended it until at least March 2017.