Bundesbank: Inflation will remain "noticeably elevated" into next year
The Bundesbank expects persistently high inflation. Fuel and service prices are driving inflation, but will only be passed on to consumers slowly.
The German central bank, Bundesbank, expects high price pressure to persist in the coming months. It forecasts that Germany's inflation rate will remain noticeably elevated into next year, with the current pressure, triggered by commodity price shocks, easing only slowly. The bank notes that while there are no signs of a repeat of the steep price rises seen in 2022 after Russia's invasion of Ukraine, a return to its 2% target will take some time.
The bank cites record-high fuel prices and expensive heating oil as factors driving a 3.3% rise in consumer prices in September.
Written by urgent.news from Handelsblatt's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
