The current June Bundesbank Monthly Report contains an article on the debate about raising the inflation target. Those in favour of this argue that a higher target rate of price increase would provide central banks with more room for manoeuvre for monetary policy countermeasures in times of crisis. The Bundesbank’s economists contend that the negative implications of a higher inflation target are largely being ignored in this debate.

Germany’s current account recorded a surplus of €11.0 billion in January 2022, down €13.6 billion on the previous month’s level. The surplus in the goods account declined considerably, with the surplus in invisible current transactions, which comprise services as well as primary and secondary income, contracting even more strongly.