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    Finance

    Inflation Down in Three German States in June, Pointing to National Easing

    Published by Global Banking & Finance Review®

    Posted on June 30, 2025

    1 min read

    Last updated: January 23, 2026

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    Tags:economic growthfinancial markets

    Quick Summary

    Inflation rates fell in three German states in June, indicating potential national easing. Bavaria, North Rhine-Westphalia, and Lower Saxony saw declines.

    Inflation Declines in Three German States, Indicating National Easing

    By Maria Martinez

    BERLIN -Inflation fell in three important German states in June, preliminary data showed on Monday, suggesting Germany's national inflation rate could ease this month.

    In Bavaria, the inflation rate fell in June to 1.8% from 2.1% in the previous month, in North Rhine-Westphalia it fell to 1.8% from 2.0% and in Lower Saxony it fell to 2.2% from 2.3% in May.

    In Baden-Wuerttemberg, however, the inflation rate increased slightly to 2.3% from 2.2% in the previous month.

    Economists polled by Reuters had forecast a harmonised national inflation rate in Germany - the euro zone's largest economy - of 2.2% in June, up from 2.1% in the previous month. 

    (Editing by Matthias Williams)

    Key Takeaways

    • •Inflation fell in three major German states in June.
    • •Bavaria's inflation rate dropped to 1.8% from 2.1%.
    • •North Rhine-Westphalia saw a decrease to 1.8%.
    • •Lower Saxony's rate fell slightly to 2.2%.
    • •Baden-Wuerttemberg experienced a slight increase.

    Frequently Asked Questions about Inflation down in three German states in June, pointing to national easing

    1What was the inflation rate in Bavaria in June?

    In Bavaria, the inflation rate fell to 1.8% in June from 2.1% in the previous month.

    2How did inflation change in North Rhine-Westphalia?

    In North Rhine-Westphalia, the inflation rate decreased to 1.8% in June, down from 2.0% in May.

    3
    What was the inflation rate in Baden-Wuerttemberg?

    In Baden-Wuerttemberg, the inflation rate increased slightly to 2.3% in June from 2.2% in the previous month.

    4What did economists forecast for Germany's national inflation rate?

    Economists had forecast a harmonised national inflation rate of 2.2% in June, up from 2.1% in May.

    5Which states showed a decline in inflation rates?

    Inflation rates fell in Bavaria, North Rhine-Westphalia, and Lower Saxony in June.

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