2025.09.1206:12:24UTC+00Germany Inflation Confirmed at 5-Month High

Germany experienced an increase in its annual consumer price inflation rate, reaching 2.2% in August 2025, the highest in five months, up from 2% in July, as confirmed by preliminary data. This uptick was primarily attributed to the rise in food costs, which grew by 2.5% compared to 2.2% in July. Notable price hikes were recorded in categories such as fruit, which surged by 7.1%, and sugar, jam, honey, and other confectionery, which rose by 6.9%. In addition, dairy products and eggs increased by 3.2%, whereas meat products went up by 2.9%. Concurrently, the decline in energy prices moderated to -2.4% from -3.4%, with reductions observed in motor fuels at -2.5% and household energy at -2.3%. Meanwhile, inflation in the services sector remained stable at 3.1%, with significant price increases noted in combined passenger transport services, which jumped by 11.1%, and social facility services, up by 8.1%. Core inflation, which excludes volatile categories such as food and energy, stayed consistent at 2.7% for the third consecutive month. On a month-to-month basis, the Consumer Price Index (CPI) increased slightly by 0.1% in August, following a 0.3% rise in the previous month.