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Germany's inflation holds at 2% in July; core inflation at 2.7%

04 Aug '25

1 min read

Germany's inflation holds at 2% in July; core inflation at 2.7%

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Germany's inflation held steady at 2 per cent in July 2025, with consumer prices rising 0.3 per cent month-on-month.
Core inflation stood at 2.7 per cent.
The HICP rose 1.8 per cent year-on-year.
Energy prices fell 3.4 per cent, while food prices edged up to 2.2 per cent.
Services inflation eased to 3.1 per cent, while goods saw an increase of 1 per cent.

Germany’s annual inflation rate stood at 2 per cent in July 2025, unchanged from the previous month, according to provisional data released by the Federal Statistical Office (Destatis). On a monthly basis, consumer prices rose by 0.3 per cent. Core inflation remained higher at 2.7 per cent.

The Harmonised Index of Consumer Prices (HICP), used for eurozone monetary policy, increased by 1.8 per cent year-on-year and 0.4 per cent from June.

A breakdown of key components showed a continued drag from energy prices, which fell by 3.4 per cent in July after a 3.5 per cent drop in June. In contrast, food prices rose slightly to 2.2 per cent from 2.0 per cent. Services inflation eased to 3.1 per cent from 3.3 per cent, while goods saw a modest price increase of 1 per cent.

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