Inflation Rate in Germany remained unchanged at 2 percent in July. This dataset provides the latest reported value for - Germany Inflation Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

In February 2025, based on preliminary figures, consumer prices in Germany increased by 2.3 percent compared to the same month of the previous year. The inflation rate is calculated using the price increase of a product basket defined by the German Federal Statistical Office. This product basket contains services and products, on which the average consumer spends money throughout the year. This includes expenses for groceries, clothes, rent, power, telecommunications, recreational activities and raw materials (i.e. gas, oil), as well as federal fees and taxes.The term inflation means the devaluation of money caused by the increase of the price level of products (consumer goods, investment goods). The Consumer Price Index shows the price trends for private consumption expenses and shows the current inflation level when increasing.

For 2024, economic experts predict a *** percent inflation rate growth in Germany. Therefore, prices are expected to rise slower, one reason being that energy commodity prices have fallen significantly again. Nevertheless, the economic institutes do not expect the inflation rate to fall to *** percent until 2026.

Cost of food in Germany increased 2.70 percent in June of 2025 over the same month in the previous year. This dataset provides the latest reported value for - Germany Food Inflation - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

Services Inflation in Germany decreased to 3.10 percent in July from 3.30 percent in June of 2025. This dataset includes a chart with historical data for Germany Services Inflation.

Inflation Expectation: Germany: Increase data was reported at 25.700 % in Apr 2025. This records a decrease from the previous number of 29.800 % for Mar 2025. Inflation Expectation: Germany: Increase data is updated monthly, averaging 28.700 % from Dec 1991 (Median) to Apr 2025, with 401 observations. The data reached an all-time high of 84.900 % in Jun 2021 and a record low of 0.600 % in Jun 2023. Inflation Expectation: Germany: Increase data remains active status in CEIC and is reported by Leibniz Centre for European Economic Research. The data is categorized under Global Database’s Germany – Table DE.S001: Indicator of Economic Sentiment: ZEW.

Core consumer prices in Germany increased 2.70 percent in July of 2025 over the same month in the previous year. This dataset provides the latest reported value for - Germany Core Inflation Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

Between January 2018 and May 2025, Germany's inflation rate experienced significant volatility. Initially fluctuating between 0.3 and 3.1 percent, the rate escalated dramatically, reaching a peak of 10.4 percent in October 2022. By September 2024, the inflation rate had moderated to 1.6 percent. However, inflation began rising again towards the end of 2024, standing at 2.6 percent in December. Early 2025 saw inflation decrease to 2.2 percent. The European Central Bank (ECB) responded to these inflationary pressures with a series of interest rate adjustments. After maintaining historically low rates, the ECB initiated its first rate hike since March 2016 in July 2022, raising the rate to 0.5 percent. The interest rate continued to increase, stabilizing at 4.5 percent from September 2023 to June 2024. In a notable shift, June 2024 marked the first rate cut during this period. It was followed by a series of rate cuts until the end of the year, with the last cut in 2024 setting the rate at 3.15 percent. Two further cuts were implemented in early 2025, setting the rate at 2.65 percent in March 2025.

The inflation rate in Germany was 1.35 percent in 2019. The current rate meets the European Central Bank’s target rate, which is “below, but close to, 2 percent.” Many central bankers favor inflation between 2 and 3 percent, but Germans in particular would rather risk deflation than too much inflation.

Causes of inflation

Central bankers like low, stable inflation because this is a sign of a growing economy. When the economy grows, workers become more productive and spend more, and prices slowly rise. Monetary policy can cause inflation, but Germany has given this responsibility to the European Central Bank (ECB). Importantly, inflation expectations affect inflation, making it a self-fulfilling prophecy.

The German context

During the eurozone crisis, German politicians were advocating for the ECB to raise interest rates quickly. This would have reduced inflation, possibly causing deflation, but would have presented another hurdle for the struggling Greek economy. This is because of the hyperinflation of the Weimar Republic in the 1920s, when Germans carried their pay home in wheelbarrows because the banknotes had lost so much value. Ever since, Germans often warn that inflation harms pensioners and that personal provisions are necessary in any case. Fortunately for them, this statistic forecasts stable, modest inflation that does not alarm many economists.

Inflation, monthly percent change in the CPI in Germany, July, 2025 The most recent value is 0.38 percent as of July 2025, an increase compared to the previous value of 0.08 percent. Historically, the average for Germany from February 1996 to July 2025 is 0.16 percent. The minimum of -1.31 percent was recorded in January 2015, while the maximum of 2.47 percent was reached in March 2022. | TheGlobalEconomy.com

The latest inflation rate, i.e. the percent change in the CPI from a year ago to now, in Germany was 2.01 percent. That number was released in . It shows a decrease from the inflation rate in the previous month when it stood at 2.09 percent. Compared to a year ago, we see a decrease from the inflation...

Germany Inflation Expectation: USA data was reported at 75.800 % in Apr 2025. This records an increase from the previous number of 52.300 % for Mar 2025. Germany Inflation Expectation: USA data is updated monthly, averaging 31.900 % from Dec 1991 (Median) to Apr 2025, with 401 observations. The data reached an all-time high of 86.300 % in Nov 2016 and a record low of -88.300 % in Jun 2023. Germany Inflation Expectation: USA data remains active status in CEIC and is reported by Leibniz Centre for European Economic Research. The data is categorized under Global Database’s Germany – Table DE.S001: Indicator of Economic Sentiment: ZEW.

The Consumer Price Index in Germany increased 0.30 percent in July of 2025 over the previous month. This dataset provides the latest reported value for - Germany Inflation Rate MoM - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

Inflation Expectation: Germany: Decrease data was reported at 30.700 % in Apr 2025. This records an increase from the previous number of 21.900 % for Mar 2025. Inflation Expectation: Germany: Decrease data is updated monthly, averaging 14.600 % from Dec 1991 (Median) to Apr 2025, with 401 observations. The data reached an all-time high of 88.200 % in Mar 1994 and a record low of 0.000 % in Feb 2018. Inflation Expectation: Germany: Decrease data remains active status in CEIC and is reported by Leibniz Centre for European Economic Research. The data is categorized under Global Database’s Germany – Table DE.S001: Indicator of Economic Sentiment: ZEW.

Inflation Expectation: Germany: Number Change data was reported at 43.600 % in Apr 2025. This records a decrease from the previous number of 48.300 % for Mar 2025. Inflation Expectation: Germany: Number Change data is updated monthly, averaging 43.800 % from Dec 1991 (Median) to Apr 2025, with 401 observations. The data reached an all-time high of 79.000 % in Jan 1999 and a record low of 10.100 % in Jan 2023. Inflation Expectation: Germany: Number Change data remains active status in CEIC and is reported by Leibniz Centre for European Economic Research. The data is categorized under Global Database’s Germany – Table DE.S001: Indicator of Economic Sentiment: ZEW.

In 2024, the German economy shrunk by 0.2 percent. This was due to persistently high inflation that was triggered by the start of the Russia-Ukraine war in 2022. In 2025 and 2026, the economy is predicted to begin growing again.

Germany Inflation Expectation: Euro Area: Number Change data was reported at 45.700 % in Apr 2025. This records a decrease from the previous number of 49.000 % for Mar 2025. Germany Inflation Expectation: Euro Area: Number Change data is updated monthly, averaging 45.400 % from Feb 1999 (Median) to Apr 2025, with 315 observations. The data reached an all-time high of 79.700 % in Feb 2020 and a record low of 8.200 % in Feb 2023. Germany Inflation Expectation: Euro Area: Number Change data remains active status in CEIC and is reported by Leibniz Centre for European Economic Research. The data is categorized under Global Database’s Germany – Table DE.S001: Indicator of Economic Sentiment: ZEW.

Inflation, GDP deflator: linked series (annual %) in Germany was reported at 3.106 % in 2024, according to the World Bank collection of development indicators, compiled from officially recognized sources. Germany - Inflation, GDP deflator: linked series (annual %) - actual values, historical data, forecasts and projections were sourced from the World Bank on July of 2025.

Inflation, consumer prices (annual %) in Germany was reported at 2.2565 % in 2024, according to the World Bank collection of development indicators, compiled from officially recognized sources. Germany - Inflation, consumer prices (annual %) - actual values, historical data, forecasts and projections were sourced from the World Bank on August of 2025.

The German inflation rate has returned to normal levels of around 2.2 percent, based on preliminary figures for 2024. Compared to skyrocketing rates in 2022 and 2023, this can be seen as an improvement of the national economic situation. Various factors influenced the recent development of inflation in Germany. These are the same that pushed inflation levels around the rest of the world, particularly since the beginning of the Russia-Ukraine war in 2022. The most recent recorded annual inflation rate in Germany is within the normal range defined by central banks internationally, which is generally between 1.5 and four percent a year. The 2.2 percent for 2024 are not only noticeably lower than the preceding two years, but also less than in 2021, one of the COVID-19 pandemic lockdown years in Germany. 2022 and 2023 followed on the heels of the challenges posed by the pandemic which were already straining the national economy: supply chain interruptions and delays, transport problems, labor shortages across sectors and industries. These issues continue to partially impact the economy today.