Ifo institute sees German inflation slowing to 2-2.5% in 2022

FILE PHOTO: Cologne's shopping street during the coronavirus pandemic
FILE PHOTO: Shoppers wear mask and fill Cologne's main shopping street Hohe Strasse (High Street) in Cologne, Germany, 12, December, 2020. REUTERS/Wolfgang Rattay/File Photo

September 15, 2021

BERLIN (Reuters) – German inflation is expected to slow to 2% to 2.5% in 2022 from an estimated 3% this year, the Ifo economic institute said on Wednesday.

“One-off effects will disappear at the start of 2022 as the year-earlier value-added tax cut ends and energy prices reach pre-crisis levels,” Ifo chief economist Timo Wollmershaeuser said in a statement.

(Reporting by Maria Sheahan; Editing by Riham Alkousaa)