German inflation reaches record 7.9% in 2022

by IANS |

Berlin, Jan 18 (IANS) Driven by rising energy and food prices in particular, inflation in Germany slowed at the end of 2022 but reached a record high of 7.9 per cent for the year as a whole, the Federal Statistical Office (Destatis).

Crisis-related effects, such as supply bottlenecks and significant price increases at economic upstream stages, were "characteristic of the entire year", Destatis President Ruth Brand said in a statement.

Energy prices rose 34.7 per cent year-on-year, with prices for heating oil and natural gas even soaring 87.0 per cent and 64.8 per cent. respectively, according to Destatis.

Prices for food also outgrew overall inflation and were up 13.4 per cent, reports Xinhua news agency.

Excluding energy and food prices, Germany's annual inflation rate in 2022 would have been around half as high at 4 per cent, according to Destatis.

To ease inflationary pressure on consumers and businesses, the German government set up relief packages totaling 95 billion euros ($102 billion).

Among the measures were a fuel discount and regular social benefits increase.

In addition, a "protective umbrella" worth 200 billion euros was set up to finance a cap on electricity and gas prices that took effect at the beginning of the year.

For the month of December last year, the state even covered consumers' heating bills in full.

High inflation was "partly mitigated" through the government's relief measures, Brand stressed.

Leading economic institutes expect inflation in Germany to decline to around 6 per cent in 2023.

"Domestic inflationary pressure will remain high for some time," the ifo Institute for economic research said in its latest forecast.

Latest News
Sachin Tendulkar, BCCI office-bearers to felicitate World Cup-winning U19 women's team Tue, Jan 31, 2023, 12:19 AM
Female ex-SDF member sues Japan govt, abusers for sexual assault Tue, Jan 31, 2023, 12:18 AM
28 killed, 150 injured in blast at Peshawar mosque (3rd Ld) Tue, Jan 31, 2023, 12:15 AM
New cases declining, can achieve target of Leprosy Mukt Bharat by 2027: Mandaviya Tue, Jan 31, 2023, 12:14 AM
Upendra Kushwaha says stones pelted on his convoy in Bhojpur Tue, Jan 31, 2023, 12:12 AM
India's first glass igloo restaurant come up in J&K's Gulmarg Tue, Jan 31, 2023, 12:12 AM
Plane carrying Andhra Pradesh CM makes emergency landing Tue, Jan 31, 2023, 12:11 AM
MP minister Narottam Mishra plays anchor role in bringing back Katni mayor to BJP Tue, Jan 31, 2023, 12:10 AM
Protests in Assam over inclusion of 60 villages in Bodoland region Tue, Jan 31, 2023, 12:09 AM
Formula E World: Victory for Pascal Wehrlein and Porsche Sat, Jan 28, 2023, 12:15 PM
Man City beat Arsenal 1-0 to reach FA Cup fifth round Sat, Jan 28, 2023, 12:13 PM
Leipzig edge Stuttgart to move second in Bundesliga Sat, Jan 28, 2023, 12:05 PM
ILT20: Marcus Stoinis joins Sharjah Warriors, says he is mentally prepared for UAE weather Sat, Jan 28, 2023, 12:02 PM
Indian-American loses election to head Republican Party after challenging establishment Sat, Jan 28, 2023, 12:01 PM
Record rainfall overnight in Auckland causes massive flooding Sat, Jan 28, 2023, 11:59 AM