The currency devaluation horror continues: The According to the president of the Deutsche Bundesbank, inflation could already in the double digits in autumn. “The fuel discount and the nine-euro ticket are running out, which should increase the inflation rate by a good one percentage point,” warned Joachim Nagel on Saturday. “In total, an inflation rate of ten percent is even possible in the autumn months.”
“The last time a double-digit inflation rate was measured in Germany was more than seventy years ago,” stressed Nagel. In the fourth quarter of 1951, according to the calculations made at the time, this was eleven percent.
Nagel is not giving the all-clear for 2023 either. “The issue of inflation will not go away next year.” Russia has drastically reduced its gas supplies, and natural gas and electricity prices have risen more than expected. To the rate of inflation to counteract demands the President of the Bundesbank announced a further interest rate hike by the European Central Bank (ECB) – the key interest rate was raised to 0.5 percent in July (eXXpress reported).
With an inflation rate of 9.3 percent, the highest inflation rate since February 1975 was measured in Austria in July. The main driver of inflation is still the price of fuel. There were also noticeable price increases for household energy, gastronomy and weekly shopping.