Inflation 2022 (energy crisis)

In 2022 Germany experienced its highest inflation since the oil crisis of the 1970s.

What happened:

• February 2022: Russia invades Ukraine
• Gas prices: increased four- to six-fold (Germany got 55% of its gas from Russia)
• Electricity prices: tripled (gas influences the electricity price)
• Food: +20% (wheat, sunflower oil from Ukraine)
• Inflation: October 2022: 10.4% – record high

What the government did:

• Energy price brake: gas/electricity capped (€200+ billion)
• Fuel discount: 30 cents/litre cheaper (3 months)
• €9 ticket for local public transport
• €300 energy allowance for employees

What we learned: dependence on a single energy supplier is dangerous. Diversification applies not only to investments but also to energy sources.