German inflation eases in January

Germany's cost of living rose by 1.3 per cent on a 12-month basis in January, compared with 1.4 per cent in December.

The rate of inflation in Germany, Europe's biggest economy, inched lower in January, final official data shows.

The cost of living rose by 1.3 per cent on a 12-month basis, compared with 1.4 per cent in December, the federal statistics office Destatis said in a statement released on Thursday.

Using the Harmonised Index of Consumer Prices (HICP), the European Central Bank's inflation yardstick, inflation in Germany stood at 1.2 per cent in January, the same rate as in December.

The ECB defines price stability as increases in the harmonised index of close to but just below 2.0 per cent.

The final data confirm a preliminary flash estimate released on January 30.