Germany's annual inflation rate slowed more than expected in December, falling to 1.8% from 2.3% the previous month, according to an official preliminary estimate released on Tuesday.
Inflation fell below the market expectations of 2%, according to the Federal Statistical Office (Destatis).
Energy prices continued to see a decline, falling 1.3% year-on-year, and at a faster rate than a 0.1% decline in November.
Meanwhile, above-average increases in service and food prices pushed inflation higher, by 3.5% and 0.8%, respectively.
Food inflation slowed from 1.2% in November, the data showed.
Inflation rose 2.3% November and 2.4% in October and September, up from 2.2% in August and 2% in July and June, the lowest level since October 2024.
CPI figures were 2.1% in May and April and 2.2% in March, down from a 14-month high of 2.6% in December 2024.
In December, the annual inflation rate excluding food and energy, also referred to as core inflation, fell to 2.4% from 2.7% in November on an annual basis.
On a monthly basis, consumer prices were unchanged, despite expectations of a 0.4% rise.