They now expect German inflation to hit 7%, after initially forecasting 3.5% inflation in its February forecast. Well, we're already there and given how things are progressing, it may be the case that inflation pressures stay higher for longer now - not helped of course by the Russia-Ukraine conflict.
The more notable thing is that from the survey of 25,000 companies, DIHK says that nearly 40% plan to pass on the higher costs on to customers with more than every second company in industry and trade stating that it was intending to pass on the cost increases.
Well, the situation in the UK is a rough look for what may be the case in Europe later in the year.
