From BZ editors
The expensive shock continues – and is noticeably on the pockets of the Germans!
Inflation also rose in April: consumer prices were 7.4 percent higher than in April 2021 – the highest level since German reunification! In March, the annual inflation rate had already jumped to 7.3 percent.
And there is no improvement in sight: According to economists, people in Germany must continue to adjust to high inflation rates for the time being. For 2022 as a whole, economists recently expected an average inflation rate of more than six percent in Europe’s largest economy.
Above all, the sharp rise in energy prices is fueling inflation, which rose by 35.3 percent compared to the same month last year.
► The prices for light fuel oil almost doubled: plus 98.6 percent!
► Also for fuel (plus 38.5 percent) consumers had to pay significantly more.
► The price for natural gas (up 47.5 percent).
The last time in the old federal states was in autumn 1981 was a similarly high rate as a result of the first Gulf War between Iraq and Iran.
Food prices rose by an above-average 8.6 percent.
► Prices rose particularly sharply for, among other things, edible fats and edible oils (27.3 percent)
► Also meat and meat products (11.8 percent) became noticeably more expensive.
► The prices for dairy products and eggs as well as fresh vegetables increased by around nine percent.
► In a monthly comparison, the prices for package tours increased by almost 18 percent for seasonal reasons.
►Alcoholic beverages and tobacco products were below average more expensive (3.3 percent), as well as clothing (3.4 percent).
With inflation soaring, the likelihood of a rate hike in the eurozone this summer is growing. Several members of the European Central Bank’s highest decision-making body, the ECB Council, recently did not rule out an increase in July. Bundesbank President Joachim Nagel warned: “Since inflation in the euro area is still high, we must act.”
By Robert Becker