Germany’s annual inflation rate accelerated to 2.9% in April 2026, confirming preliminary estimates and rising from 2.7% in March, marking the highest reading since January 2024. The increase was largely driven by another sharp rise in energy prices, which surged 10.1% amid higher crude oil prices linked to the ongoing Iran war. Motor fuel costs jumped 26.2%, while heating oil prices soared 55.1%. Food inflation also picked up to 1.2% from 0.9%, while goods inflation accelerated to 2.9% from 2.3%. In contrast, services inflation eased to 2.8% from 3.2%. Core inflation, which excludes food and energy, held steady at 2.3%. On a monthly basis, consumer prices rose 0.6% in April, matching preliminary estimates, as energy prices increased 2.1%. Meanwhile, the annual HICP inflation rate edged up to 2.9% from 2.8% in March, also reaching its highest level since January 2024, and well above the European Central Bank’s 2% target.