The shrinking of the German economy would mean a significant loss of prosperity.
(Photo: dpa)
Berlin German economic output is expected to shrink by 0.7 percent in 2023. This is what the Kiel Institute for the World Economy (IfW) predicts in its economic forecast published on Thursday. “The German economy is in a downward spiral,” state the IfW forecasters.
The effects of the Ukraine war and the energy crisis are just beginning and will not fully take hold until next year. “Massively rising energy prices are pushing the German economy into recession,” says the forecast.
There are technical definitions according to which Germany is already in a recession. However, a recession in the traditional sense is only spoken of when the gross domestic product (GDP) falls for an entire year. This was last the case in 2020 due to the outbreak of the corona pandemic. At around five percent, the minus was significantly higher than now expected for 2023.
Read on now
Get access to this and every other article in the
Web and in our app free of charge for 4 weeks.
Continue
Read on now
Get access to this and every other article in the
Web and in our app free of charge for 4 weeks.
Continue