Germany’s inflation hits 2.5-year low
FRANKFURT - Agence France-PresseInflation in Germany, Europe’s biggest economy, slowed to its lowest level in two and a half years in April, official data showed today. The cost of living in Germany increased by 1.2 percent on a 12-month basis last month, down from 1.4 percent in March, the federal statistics office Destatis calculated in final data.
On a monthly basis, the consumer price index (CPI) fell by 0.5 percent in April from March.
The last time the annual inflation rate was lower was in August 2010 when it had stood at 1.0 percent.
The final data confirm a preliminary estimate released at the end of April.
Using the Harmonised Index of Consumer Prices (HICP), the ECB’s inflation yardstick, the rate of inflation in Germany slumped to 1.1 percent in April from 1.8 percent in March, Destatis said.
The ECB defines price stability as increases in HICP of close to but just below 2.0 percent.