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Germany's Inflation Drops to 2.1%, Lowest in Six Months

Easing energy costs drive inflation down, but food and services continue to exert upward pressure on prices.

Eine Kundin betrachtet Produkte in einem Kühlregal.
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Overview

  • Germany's inflation rate fell to 2.1% in April 2025, the lowest level since October 2024, according to preliminary data from the Statistisches Bundesamt.
  • Energy prices dropped by 5.4% year-over-year, reflecting lower global oil prices influenced by trade tensions and a stronger euro.
  • Food prices rose by 2.8% compared to April 2024, with notable increases in items like fresh produce and dairy products.
  • Core inflation, which excludes volatile food and energy prices, climbed to 2.9%, highlighting persistent underlying price pressures.
  • Regionally, inflation rates varied slightly, with Hesse at 2.3% and Saxony at 2.4%, both showing modest declines from March.