Key facts
- Inflation in Bavaria rose to 3.2% in September from 2.9% in August.
- Inflation in North Rhine-Westphalia and Lower Saxony increased to 3.3% from 2.9%.
- Inflation in Baden-Wuerttemberg rose to 2.9% from 2.6%.
- Inflation in Hesse rose to 3.4% from 3.0%.
- The German government expects inflation to accelerate to 2.7% this year and 2.8% in 2027.
- Economists forecast Germany's harmonized national inflation rate to be 3.2% in September, up from 2.9% in August.
Inflation rose in five key German states in September, preliminary data showed on Wednesday, suggesting that Germany's national inflation rate could increase this month. In Bavaria, the inflation rate rose to 3.2% in September from 2.9% in August. In North Rhine-Westphalia and Lower Saxony, it increased to 3.3% from 2.9%. In Baden-Wuerttemberg, it rose to 2.9% from 2.6%, and in Hesse, it rose to 3.4% from 3.0%. The war in Ukraine has pushed up energy and raw material prices in previous months, and the German government now expects inflation to accelerate to 2.7% this year and 2.8% in 2027. Economists polled by Reuters are forecasting a harmonized national inflation rate in Germany of 3.2% in September, up from 2.9% in the previous month. National figures were scheduled for release later on Wednesday. The German data comes ahead of the euro zone inflation release on Friday. Inflation in the bloc is expected to come in at 3.6% in September, up from 3.2% in the previous month, according to economists polled by Reuters. ECB chief Christine Lagarde said on Monday that this year's inflation surge has yet to generate dangerous second-round effects across the euro zone, so a moderate policy response from the European Central Bank remains appropriate.
