Inflation in Germany slowed in March, data released
Wednesday showed, which should help to ease the pressure on the
European Central Bank (ECB).
Annual consumer prices in the eurozone's biggest economy edged
down to 2.1 percent this month from 2.3 percent in February, the
statistics office said.
This took the consumer prices in Germany closer to the 2 percent
annual ceiling set by the ECB.
The decline gives the Frankfurt-based bank more room to move in
dealing with the eurozone's debt crisis and to shore up economic
confidence in the region.
Lower consumer prices mean that it should be easier for the
fiercely anti-inflationary bank to press on with trimming interest
rates if the eurozone economy takes a sudden turn for the worse.
Analysts had expected the preliminary data would show German
inflation would ease to 2.2 percent this month.
The release of the German inflation figures came ahead of the
publication on Friday of the latest consumer price data for the
17-member eurozone.
The European Union's statistics office Eurostat is forecast by
analysts to say that annual inflation in the eurozone slipped from
2.7 percent in February to 2.6 percent in March.
