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German inflation hits lowest rate in over 2 years

German inflation falls to 1.5% in February
German inflation falls to 1.5% in February

Official figures show that inflation in Germany, Europe's largest economy, fell to an annual rate of 1.5% last month - the lowest in more than two years.

The Federal Statistical Office said inflation would have been 1.1% were it not for higher energy and food prices.

February's rate was down from 1.7% in January and 2% in December. The last time it was so low was in December 2010 when inflation stood at 1.3%.

The German inflation rate is now well below the European Central Bank's target of keeping price rises just below 2%.

The overall February rate for the 17 country euro zone has been estimated at 1.8%, according to recent figures from the European Union's statistics office.