The inflation rate in Germany dropped in March 2023 to 2.2 percent, marking the lowest level since June 2021, according to official data.
The Federal Statistical Office in Germany reported that consumer prices increased by 2.7 percent year-on-year in February 2023. However, the decline in food and energy prices led to a decrease in the country’s overall inflation rate in March 2023, reaching its lowest point in around three years.
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The core inflation rate, which excludes volatile food and energy prices, stood at 3.3 percent in March 2023, down from 3.4 percent in February 2023. Food prices decreased by 0.7 percent on a yearly basis, while energy prices dropped by 2.7 percent in March 2023 compared to the same month the previous year. Meanwhile, service prices increased by 3.7 percent year-on-year in March 2023.
According to Ruth Brand, president of the Federal Statistical Office, the rate of inflation has slowed again. She added that the energy and food price situation has slowed down the inflation rate for the second consecutive month.
Brand further said that in March 2023, for the first time since February 2015, groceries were cheaper for consumers than a year earlier. However, she noted that compared to the previous month, consumer food prices increased by 0.4 percent in March 2023.
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