Inflation in Germany at its lowest level since the Russia-Ukraine war

Final data released in Germany confirmed that inflation has fallen to 4.5 percent, its lowest level since the start of the Russia-Ukraine war. In the country, the EU-harmonized CPI rose by 0.2 percent on a monthly basis and 4.3 percent on an annual basis in September.

Don't leave your news choices to an algorithm - decide for yourself what you read. Add 12punto to your preferred sources!

Inflation in Germany at its lowest level since the Russia-Ukraine war

The Federal Statistical Office of Germany (Destatis) has released the final data for September regarding price increases.

Accordingly, annual inflation in the country, which was 6.1 percent in August, fell to 4.5 percent in September, in line with expectations. On a monthly basis, inflation rose by 0.3 percent.

The final data confirmed the previously published preliminary figures. It was noted that annual inflation has seen a decline for 3 consecutive months.

It was stated that the decline occurred due to the base effect of the government's aid package for transportation costs, which was initiated due to the Russia-Ukraine war and ended in September of last year.

The EU-harmonized CPI also rose by 0.2 percent compared to the previous month and 4.3 percent on an annual basis in September.

While food prices increased by 7.5 percent annually in September, energy product prices showed an average increase of 1 percent.

Excluding energy prices, annual inflation in Germany was 5 percent in March.

THE IMPACT OF INFLATION CONTINUES

Destatis President Ruth Brand, in her assessment of the issue, stated, "The inflation rate has fallen to its lowest level since the beginning of the war in Ukraine. However, it is still high. Consumers continue to feel the high food prices."

Germany's core inflation rate, calculated excluding food and energy, fell from 5.5 percent in August to 4.6 percent in September.

Analysts stated that the easing of core inflation in Germany would be a relief for European Central Bank (ECB) policymakers, who have been more concerned about underlying inflationary pressures than headline inflation in recent months.

Meanwhile, inflation in the entire Eurozone came in at 4.3 percent in September, below expectations.

News Source: AA