Inflation in parts of Germany exceeds ECB target in May
Updated : May 30, 2018 07:37 PM IST
Policy hawks at the ECB, including German Bundesbank head Jens Weidmann, want the bank to end its asset purchases this year and see room for a rate hike towards the middle of 2019.
In Germany's most populous state, North Rhine-Westphalia, annual inflation shot up to 2.1 percent in May from 1.5 percent the previous month, the data showed. The rise was mainly driven by higher energy, food and transport prices.
In Bavaria, annual inflation jumped to 2.3 percent. It also surpassed the ECB's price target of just below 2 percent in the states of Baden-Wuerttemberg, Brandenburg and Saxony.