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Annual inflation in Germany reached 7.3% for the first time in 40 years


12 kwietnia 2022
watermark Economic news

According to the final data of the German Federal Statistical Office Destatis, inflation in March jumped by 7.3% year-on-year. Such high rates were recorded for the last time more than 40 years ago – after the first war in the Persian Gulf region. In February, the indicator was recorded at 5.1%. On a monthly basis, inflation in Germany was 2.5%. 


One of the main reasons for such a big jump was the rise in energy prices – they increased by 39.5% year-on-year.


Fuel oil prices in Germany have more than doubled recently, fuel prices have risen by 47.4%, natural gas has risen by 41.8%, electricity by 17.7%. Analysts note that without an increase in energy prices, inflation would have been 3.6%.


In addition, the increase in annual inflation was also facilitated by the persistence of logistics problems that began during the pandemic, and the escalation of tension around the situation in Ukraine. 


Food prices in Germany increased by 6.2% year-on-year. Vegetable oils and fats (17.2%), fresh vegetables (14.8%), as well as coffee and coffee products (8.9%) have risen in price especially strongly.


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