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Significantly fewer German companies are planning to raise their prices in the next three months than a month ago, a survey by the Ifo economic institute showed on Wednesday, pointing to a decrease in inflationary pressures in the coming months.
For the economy as a whole, Ifo's price expectations index fell to 29.1 points in February from 35.2 points in January, marking the fifth decline in a row.
"Companies have already passed most of the increased costs on to their customers. At the same time, demand is waning in almost all economic sectors," Timo Wollmershaeuser, head of forecasts at Ifo, said in a statement.
"This points to a decrease in inflationary pressure in the months ahead," he added.
(Writing by Paul Carrel, Editing by Miranda Murray)