On Wednesday, the German Statistical Office (Desatatis) reported that in February, German inflation accelerated, growing 9.3% year over year, and 1% for the month.

Harmonized to compare to other European countries, the increase in consumer prices rose higher than the office’s economists had predicted.

The report noted that rapidly rising food and energy prices were a major factor in Germany’s inflation rate. In February, food prices grew at the above-average rate of 21.8% compared to one year prior, preliminary data indicated

Destatis said, “Despite the relief measures, energy prices were 19.1% higher in February 2023 than in February 2022.”

Ralph Solveen, a Commerzbank economic researcher, said to Reuters, “Although the inflation rate may fall in the coming months because energy prices are unlikely to rise as strongly as they did in spring 2022, this does not mean that inflation is over.” 

The German report followed similar reports from France and Spain, whose statistical offices showed rapidly rising food and energy prices were hitting Europe’s second and fourth largest economies with a heavy blow. The reports showed that after a brief respite earlier in the year, consumer prices in both nations had returned to their upward trajectories.

Economists predict Eurozone inflation will continue to rise in the coming months, and that will trigger more interest rate rises by the European Central Bank.

The ECB has already indicated it will raise rates by .5% to 3% in March, in an effort to contain the skyrocketing inflation in the bloc. However Bundesbank President Joachim Nagel warned earlier that these reports indicate it may need to continue raising interest rates beyond March, since inflation continues to remain too high.