According to the final report from the Federal Statistical Office (Destatis), in April, consumer price growth slowed to 7.2% per annum, as expected, from 7.4% per annum in March. This was the weakest growth in the last seven months. On a monthly basis, consumer prices rose by 0.4%, confirming economists' forecasts, and slowing sharply compared to March (+0.8%).
Destatis said that energy prices increased by 6.8% per year after an increase of 3.5% per year in March. Energy prices for the household increased by 21.1% per annum, while natural gas prices jumped by 33.8% per annum, and prices of firewood, wood pellets and other solid fuels increased by 29.8% per annum. Consumers also had to pay significantly more for electricity (+15.4% y/y) and district heating (+12.3% y/y). Heating oil prices, in contrast, decreased substantially by 21.8%, and motor fuel prices went down by 9.4% from the previous year. On the whole, the development of energy prices is subject to many factors, such as the electricity, natural gas and district heating price brakes which have been effective since January 2023.
Meanwhile, the growth of food prices slowed down to 17.2% per annum from 22.3% per annum in March. Significantly higher prices were recorded for dairy products (+34.8%), bread and cereals (+21.3%), fish, fish products and seafood (+19.7%), and sugar, jam, honey and other confectionery (+19.6%).
Excluding energy prices, the CPI rose by 7.2% per annum, as in March. Meanwhile, the CPI excluding energy and food increased by 5.8% per annum, which indicates the huge impact of food prices on overall inflation.