More German companies want to increase their prices, according to Ifo – 01/16/2025

The Ifo index of price forecasts in Germany reached its highest level since April 2023 in December, with all economic sectors contributing to the rise, the Ifo economic institute said on Thursday.

The index reached 19.7 points in December, compared to 15.8 points in November. The points on the Ifo Price Forecast Index indicate the percentage of companies that intend to increase prices.

“In the coming months, the inflation rate is expected to stabilize at around 2.5%, which is above the European Central Bank’s target,” said Timo Wollmershaeuser, head of forecasts at Ifo.

Price forecasts for consumer-related service providers, in the manufacturing industry and among business-related service providers increased in December.