Inflation in Germany falls to its lowest level in about 3 years

Final data from Germany’s Federal Statistics Office showed on Friday that inflation eased in March thanks to a decline in energy and food prices.

Inflation in Europe’s largest economy recorded 2.3 percent, the lowest level since June 2021. Consumer prices, harmonized to facilitate comparison with other countries in the European Union, rose 2.7 percent on an annual basis in February.

Core inflation, which excludes volatile food and energy prices, was 3.3 percent in March, down from 3.4 percent in February.

Food prices fell 0.7 percent year-on-year, and energy prices fell 2.7 percent in March compared to the same month last year. Overall service prices increased 3.7 percent in March year-on-year.