The Federal Ministry of Labor has revised its economic forecast downwards.
(Photo: IMAGO/Frank Ossenbrink)
Berlin The German government believes that the Russian war of aggression against Ukraine and its consequences will have a noticeable impact on growth in Germany. “On average, we expect 590,000 short-time workers this year, according to our researchers’ forecast, economic growth will be 1.4 to 1.5 percent, so growth will remain,” said Labor Minister Hubertus Heil of “Bild am Sonntag”. “However, the whole thing is subject to the condition that the war does not spread and that the energy supply is in place.”
The federal government had already significantly lowered its economic forecast at the end of January – several weeks before the start of the war in Ukraine. Because of the corona pandemic, she only assumed 3.6 percent economic growth at the time. The previous government had expected 4.1 percent in autumn 2021.