German inflation hits record high

The surge in consumer prices in the past year exceeded 10%, Destatis has reported

Inflation in Germany saw year-on-year growth of 10.9% in September, up from 8.8% recorded in the previous month, official data released on Thursday by the Federal Statistical Office (Destatis) shows.

The readings came in higher than the market expectation of 9.4%, and marked a record high since the creation of the euro in 1999. 

Soaring food and energy prices reportedly had a considerable impact on the high inflation rate.

“Energy prices were 43.9% higher in September 2022 than in September 2021,” the agency said in a  press release. “There was also an above-average rise in food prices by 18.7% from the same month of the previous year.” 

On Thursday, the German government agreed a €200 billion ($194 billion) package to “cushion rising energy costs and the most severe consequences for consumers and businesses.” Under the plan, which will be financed with new borrowing, Berlin will introduce an emergency price brake on gas and electricity. It will also scrap a planned gas levy on consumers to avoid further price increases.

READ MORE: German producer prices hit all-time high – data

The detailed information, along with final data on the level of inflation in September, will be published by Destatis on October 13.

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