{"id":241061,"date":"2026-01-16T09:56:07","date_gmt":"2026-01-16T09:56:07","guid":{"rendered":"https:\/\/www.newsbeep.com\/il\/241061\/"},"modified":"2026-01-16T09:56:07","modified_gmt":"2026-01-16T09:56:07","slug":"cheap-energy-lower-food-prices-drive-drop-in-german-inflation-rate","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/il\/241061\/","title":{"rendered":"Cheap energy, lower food prices drive drop in German inflation rate"},"content":{"rendered":"<p class=\"mb-4 text-lg md:leading-8 break-words\">Cheap energy and lower food prices drove German inflation down to 1.8% in December, the Federal Statistical Office said on Friday as it confirmed preliminary figures published earlier this month.<\/p>\n<p class=\"mb-4 text-lg md:leading-8 break-words\">Consumer prices rose by 2.2% on average last year, the Wiesbaden-based agency confirmed, unchanged from 2024.<\/p>\n<p class=\"mb-4 text-lg md:leading-8 break-words\">Pressure on household budgets eased in December, with the inflation rate dropping below the European Central Bank&#8217;s 2% target for the first time since September 2024.<\/p>\n<p class=\"mb-4 text-lg md:leading-8 break-words\">While the price of services such as public transport and insurance rose 3.5%, food prices were only 0.8% higher than in December 2024, with key items such as butter and olive oil becoming cheaper while beef and chicken rose by 14.1% and 6.3% respectively.<\/p>\n<p class=\"mb-4 text-lg md:leading-8 break-words\">Energy prices were 1.3% lower in December 2025 and 2.4% lower in the full year compared to 2024.<\/p>\n<p class=\"mb-4 text-lg md:leading-8 break-words\">Surging energy prices linked to the Russian invasion of Ukraine led German inflation to soar to 6.9% in 2022 and 5.9% in 2023.<\/p>\n<p class=\"mb-4 text-lg md:leading-8 break-words\">The rate of inflation has since stabilized, and the Munich-based ifo Institute expects inflation to remain at 2.2% in 2026 before inching up to 2.3% the following year.<\/p>\n<p class=\"mb-4 text-lg md:leading-8 break-words\">However, core inflation, a measure which excludes volatile prices of food and energy, remained high at 2.8% in 2025.<\/p>\n<p class=\"mb-4 text-lg md:leading-8 break-words\">In addition, higher prices for public transport and a rising minimum wage could drive further inflation next year, the agency said.<\/p>\n","protected":false},"excerpt":{"rendered":"Cheap energy and lower food prices drove German inflation down to 1.8% in December, the Federal Statistical Office&hellip;\n","protected":false},"author":2,"featured_media":241062,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[114,16533,184,4414,11157,129747,32090,129748,85,46,129749],"class_list":["post-241061","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-consumer-prices","tag-economy","tag-energy-prices","tag-european-central-bank","tag-federal-statistical-office","tag-food-prices","tag-german-inflation","tag-il","tag-israel","tag-weekly-market"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/241061","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=241061"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/241061\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/241062"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=241061"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=241061"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=241061"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}