Germany’s inflation rate eased to 2.6 percent in May, the Federal Statistical Office reported. In April, the rate had stood at 2.9 percent. According to Deutschlandfunk, experts attribute the decline primarily to the fuel discount, which dampened energy prices.
Energy prices had risen sharply in April amid the Iran war. The fuel discount, a temporary tax cut on fuels, now appears to be counteracting that. The exact impact on consumer prices continues to be monitored.
Source: www.deutschlandfunk.de
