The Bundesbank said that inflation in Germany may not be as serious as it was after the pandemic, but a series of risks may push prices higher than current expectations. The Bundesbank said in a report analyzing current inflation dynamics on Monday that the most prominent risks include commodity prices remaining high or continuing to rise, as well as rising prices for food, non-energy goods and services. The report said, “Given the different combination of impacting factors, it seems unlikely that the high inflation phase from 2021 to 2022 will be repeated. However, the risk of inflation is clearly biased towards the upside.”

The Bundesbank said that inflation in Germany may not be as serious as it was after the pandemic, but a series of risks may push prices higher than current expectations. The Bundesbank said in a report analyzing current inflation dynamics on Monday that the most prominent risks include commodity prices remaining high or continuing to rise, as well as rising prices for food, non-energy goods and services. The report said, “Given the different combination of impacting factors, it seems unlikely that the high inflation phase from 2021 to 2022 will be repeated. However, the risk of inflation is clearly biased towards the upside.”