BERLIN, March 29 (Xinhua) -- The Russia-Ukraine conflict and high inflation put "significant pressure" on consumer sentiment in Germany in March, according to a monthly study published by the Nuremberg-based market research institute GfK on Tuesday.
The forward-looking consumer sentiment indicator for April saw a "considerable downturn" and slumped 7 points to minus 15.5 points, according to the study based on interviews of around 2,000 German consumers.
"In February hopes were still high that consumer sentiment would recover significantly with the foreseeable easing of pandemic-related restrictions," said GfK consumer expert Rolf Buerkl. However, the start of the Russia-Ukraine conflict "caused these hopes to vanish in thin air."
Skyrocketing energy prices were "putting a noticeable strain on general consumer sentiment," Buerkl added. Income expectations in Germany also recorded a particularly sharp decline and dropped by 26 points to minus 22.1 points, the lowest value since the financial crisis in 2009.
Already before the start of the Russia-Ukraine conflict, prices for imported as well as for domestically produced energy saw a particularly sharp increase by 129.5 percent and 68.0 percent, respectively, according to the latest figures by the Federal Statistical Office (Destatis).
"A sustainable recovery of the consumer sentiment is only possible with a rapid ceasefire followed by peace negotiations," Buerkl said, adding that the easing of pandemic-related restrictions could then "also be able to have their positive effect." ■
