Inflation in Germany dropped to the level not seen in three years last month, paving the way for the European Central Bank to cut interest rates at the upcoming meeting scheduled this week.
August has seen inflation in the European largest economy go down to 2.0%, the lowest since June 2021, thanks to a decrease in energy prices.
Consumer prices, compared to other European Union countries, had increased by 2.6% year-on-year in July.
Meanwhile, core inflation, which does not include food and energy prices, shrank down to 2.8% in August from 2.9% the previous month.
This August also saw the energy price in Germany reduced by 5.1% compared to exactly one year ago.
Meanwhile, the rise in food prices has been accelerated for five months straight. The food price in August is 1.5% higher than the same month of the year prior.
The price for services, on the other hand, has risen higher than overall inflation at 3.9% in August year-on-year.
