Germany’s annual inflation rate eased to 2.8% in October 2026, down from 3.3% in September—a near three‑year high—thereby confirming the initial estimates. The slowdown was driven in part by the new fuel discount introduced at the beginning of October, which is set to remain in place until the end of the year.
Energy inflation moderated to 12.2% from 14.9%. Within this category, price growth for motor fuels slowed noticeably (28.9% vs 37.1%), while heating oil prices accelerated (84.5% vs 74.9%).
Food inflation remained unchanged at 0.4%. Higher prices for eggs (15.4%), fresh vegetables including potatoes (11.5%), and fish, fish products and seafood (4.5%) were partly offset by lower prices for edible fats and oils (-9.1%), dairy products (-4.7%) and fresh fruit (-2.8%).
Core inflation, which excludes energy and unprocessed food, eased to 2.1% from 2.4%. The EU‑harmonized inflation rate also declined to 2.8% from 3.3%, but still exceeded the European Central Bank’s 2% target. On a monthly basis, the consumer price index (CPI) fell by 0.2%, reversing a 0.6% increase in September.
