Berlin - German consumer prices edged up again in five key states during July, data released Tuesday showed, with analysts expecting annual inflation in Europe's biggest economy to reach 3.4 per cent this month.

While inflation in Brandenburg and Hesse rose a month-on-month 0.5 per cent in July, prices in Saxony and North Rhine-Westphalia increased by 0.6 per cent. Consumer prices rose a monthly 0.3 per cent in July in Bavaria.

The release of the latest German inflation follows the European Central Bank's decision earlier this month to raise interest rates by 25 basis points in a bid to ward off renewed inflationary pressures. (dpa)