No inflation
September 9, 2009
Data released on Wednesday by the national statistics office reported that Germany's August inflation results were stable disproving former possible deflation predictions.
According to a statement issued by the Destatis office, "the consumer price index for Germany in August 2009 remained at the same level as in August 2008."
Concerns previously arose when consumer prices fell by a record of 0.7 in July across the 16-nation eurozone.
However, on Friday, European Central Bank chief economist Juergen Stark said the risk of deflation within the eurozone had "virtually disappeared."
Despite a stable inflation rate, Germany has seen a noticeable drop in energy and consumer good prices. A decrease in prices was especially observed in milk and fruit.
An economic decline was anticipated when businesses and households withheld on consumption and investment for hope of prices plummeting even further.
mo/AFP/dpa
Editor: Trinty Hartman