BERLIN, Jan. 31 (NsNewsWire) — The inflation rate in Germany as measured by the consumer price index (CPI) is expected to reach its highest level since July 2013, German federal statistics office Destatis said on Monday.
According to the preliminary figures of Destatis, the inflation rate in January is expected to increase by 1.9 percent year-on-year, the same level as in July 2013, reports Xinhua.
The main reason for the increase in January is the rise of household energy and motor fuels costs, which are 5.8 percent more expensive than January 2016.
Measured with the harmonized index of consumer prices (HICP), which is calculated to compare with other European countries, German inflation in January is expected to increase by 1.9 percent year-on-year and to decrease by 0.8 percent on December 2016, Destatis said.
“The rise in inflation is likely to strengthen calls from Germany’s political leaders and economists for the European Central Bank to begin winding down its 2.3-trillion-euro (2.46-trillion-U.S. dollar) bond-buying program and to consider raising interest rates,” German news agency dpa commented.
ECB is trying to lift inflation in the eurozone to a level of below but close to 2 percent. (1 euro=1.07 U.S. dollar)