German inflation rate in July is expected to stand at 2 percent, provisional figures of the Federal Office of Statistics Destatis showed on Monday.

According to Destatis, this is the third month in a row for German inflation rate to stay at around the two-percent mark after 2.2 percent in May and 2.1 percent in June.

A sharp rise in energy costs, a month-on-month increase of 6.6 percent, mainly led to the rising prices, Destatis' statistics showed.

In addition, the prices of goods and food rose in July by 2.4 percent and 2.6 percent, slower than in June, which rose by 2.8 percent and 3.4 percent each.

The European Central Bank has set a target for annual inflation of below 2 percent, aiming to stable eurozone economic development.