Germans ‘can be poorer’ due to the battle in Ukraine

Germans 'will be poorer' because of the war in Ukraine

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“It is not possible that this ends without costs for German society, it is unthinkable,” Robert Habeck told public broadcaster ZDF on Wednesday. “I believe that we are ready to pay this price which is small enough compared to the sufferings in Ukraine.”

Preliminary figures indicate that inflation hit 7.3% in March, according to the country’s Federal Statistics Office. That’s the highest level in more than 40 years.

The main culprit: Soaring prices for natural gas and oil, which rose by nearly 40% from the year before.

Rising energy prices had been a problem months before Russia invaded Ukraine, but the war — and fears it will lead to a supply crunch in Europe — have pushed prices up even further. This is a particular concern for Germany, Russia’s biggest energy customer in Europe.
The German government indicated on Wednesday that a payments dispute with Russia — which has demanded that “unfriendly” nations pay in rubles for their natural gas rather than in the euros or US…

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