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Inflation in Germany accelerated to 8.5% in July


Août, 10 2022
watermark Economic news

According to the final data of the German Federal Statistical Office, consumer prices harmonized with EU standards increased by 8.5% in annual terms in July. On a monthly basis, prices increased by 0.8%. The dynamics of both indicators coincided with the preliminary forecasts of analysts. 


In June, consumer prices in Germany increased by 8.2% year-on-year and decreased by 0.1% compared to May.


Consumer prices, calculated only by German standards, rose 7.5% year-on-year in July after rising 7.6% a month earlier. On a monthly basis, inflation accelerated by 0.9% after rising by 0.1% in June. 


Experts still call the rise in the price of energy carriers the main reason for the increase in inflation – they increased in price by 35.5% in annual terms after an increase of 38% in June. Food prices rose by 14.8%. Excluding these two categories of goods, consumer prices increased by 3.2% year-on-year.


The Federal Government is trying to relieve people with the help of a 9 euro ticket for local public transport (ÖPNV) introduced in early June and a reduction in the energy tax on gasoline (fuel discount). In addition, from July 1, electricity consumers no longer have to pay a subsidy for «green» electricity through an electricity bill (EEG levy).


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