According to the GfK Consumer Climate Study Germany for August, overall, consumer sentiment in Germany was somewhat more moderate in August. While income expectations rose slightly, both economic expectations and propensity to buy declined. As a result, GfK is forecasting a value of -1.2 points in consumer sentiment for September, down 0.8 points from August of this year (revised from -0.4 points). Experts expected the index to be -0.7.

In addition to the decline in propensity to buy, an increasing propensity to save in August is currently causing consumer sentiment to drop. 

Rolf Bürkl, a GfK consumer expert, commented on this observation: “Significant higher incidence values, a slowdown in vaccination momentum, and discussions about how to deal with unvaccinated individuals in the future have caused noticeable uncertainty among consumers in Germany. They fear that restrictions could even be tightened again. This is obviously depressing consumer sentiment right now.”

In addition, the topic of inflation is suddenly playing a role again in discussion about Germany's economic development. According to the Federal Statistical Office, cost of living increased by 3.8 percent in July of this year. The last time there was a higher rate of price increase was in December 1993, at 4.3 percent.