Germany sees December inflation rise driven by seasonal price increases

(MENAFN) Germany's monthly inflation reached 0.5 percent in December, slightly above the preliminary estimate of 0.4 percent, according to official data from Destatis released on Thursday.

This increase was driven by seasonal factors, including a 9.2 percent jump in travel-related costs, particularly for package holidays.

Additionally, rail fares saw an increase in December as part of the annual price adjustment, with long-distance transport prices rising by 4.2 percent and local transport fares climbing by 3 percent.

On an annual basis, consumer prices in 2024 rose by 2.2 percent compared to 2023, confirming the preliminary data published on January 7.

The annual inflation rate in 2024 was significantly lower than in the previous three years, with the averages being 5.9 percent in 2023, 6.9 percent in 2022, and 3.1 percent in 2021.

Other factors contributing to the price rise included increases in insurance (13.2 percent), social services (7.8 percent) restaurant services (6.8 percent), and vehicle maintenance and repair (6.1 percent) on a year-on-year basis.

Core inflation, which excludes energy and food prices, increased to 3.0 percent in 2024, following a 5.1 percent rise in 2023 and a 3.8 percent increase in 2022.

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