Rising Food Prices Drive February Inflation in Germany
Germany's inflation rate remains at 2.3% as food costs surge, despite a decline in energy prices.
- The inflation rate in Germany held steady at 2.3% in February 2025, matching January's rate, according to the Federal Statistical Office.
- Food prices saw a sharp increase of 2.4% compared to February 2024, with butter leading the rise at 27.9%, followed by notable increases in oils, fruits, vegetables, and dairy products.
- Energy prices decreased by 1.6% year-on-year, with reductions in electricity, heating oil, and other fuels, partially offsetting overall inflationary pressures.
- Service costs rose by 3.8%, driven by higher prices for public transportation, social services, and insurance, adding to household expenses.
- Experts suggest inflation is stabilizing, with projections of a 2.0% annual average, though concerns remain about potential economic risks and declining consumer purchasing power.