Germany’s inflation hits food costs

Strikes in Germany have crippled mass transport and airports in one of the biggest walkouts in decades. Soaring inflation has hit living standards, exceeding the eurozone average


Harmonised consumer price index (percent) 

Germany	Eurozone

Feb 2022: Russia invades Ukraine. Germany hit hard by loss of Russian gas

Oct: Eurozone inflation peaks, then falls for four consecutive months

Verdi: Union is negotiating on behalf of 2.5 million public sector employees. 
Demanding 10.5% wage increase – at least €500 per month

EVG: Negotiates for around 230,000 employees at railway operator Deutsche Bahn and bus companies.
Demanding 12% raise – at least €650 per month

				11.6	11.3		12
			10.9	10.6	9.6 9.2 9.3	10
	7.6	8.7				8.5	8
5.1  							6
							4
							2
  							0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb


HCPI (selected items, Feb 2023)

Food and beverages 		21.2%
Housing, electricity, gas 	12.9%
Restaurants, hotels 		10.5%
Transport 			5.8%

2.0% ECB target

9.3% Germany

€11
Mar 2023: Price of burger meal in Berlin – 49% more than London


Sources: Expatistan, European Central Bank, Reuters 
© GRAPHIC NEWS