Inflation in the euro zone eased slightly to 2.1 per cent in December, edging closer to the European Central Bank's (ECB) 2.0 per cent tolerance threshold, data from Eurostat showed on Monday.

In November, inflation in the 12-nation euro zone rose to 2.2 per cent from 2.0 per cent in October due to higher food and tobacco prices.

The decline in inflation is likely to be welcomed by the ECB, whose governing council meets on Thursday.

The ECB is expected to keep interest rates steady at a record low of 2 per cent amid low inflation and tepid economic growth.

Eurostat also said new orders for manufacturing industry in the euro zone picked up by 1.6 percent in October for an annual rise of 1.7 per cent, compared with a September monthly rise of 2 per cent and a year-on-year rise of 2.6 per cent.

The monthly change in prices and details of December inflation will be released by Eurostat on January 21st.