BANGALORE, Jan 7 (Reuters) - Inflationary pressures built up to a 25-month high in the euro zone during November on the back of upturns in Germany and France, according to a forward-looking indicator from the Economic Cycle Research Institute.
New York-based economic forecaster ECRI said its Eurozone Future Inflation Gauge (EFZIG) rose to 98.8 in November from 97.6 in October, held back slightly by disinflationary pressures in Italy and Spain.
"With the EZFIG climbing to a two-year high, euro zone inflation pressures continue to escalate," said ECRI's Lakshman Achuthan.
Europe's largest economy, Germany, saw a strong rise in inflationary pressures with its index jumping to 97.8 in November from 93.9 in October.
The European Union's statistics office Eurostat estimated on Tuesday that prices in the 16 countries that shared the euro currency in December rose 2.2 percent year-on-year, up from 1.9 percent in November. [ID:nBRL4CE79T]
While private sector business surveys this week showed France and Germany spearheading the euro zone's economic recovery, the debt crisis in the bloc's periphery is expected to keep interest rates at record lows deep into 2011. [ECB/INT] (Reporting by Kevin Kumar)