The five main German economic research institutes, in their spring report, revised their forecasts for the current year "significantly downwards" and now expect Germany's GDP to grow by only 0.1% while the autumn prognosis was still 1%. ,3%.
For next year, forecasts remained virtually unchanged at plus 1.4% (compared to 1.5 in the previous report).
This was reported in a press release from the Kiel Institute for the World Economy (IfW).
In the current year, private consumption will become the "main driving force of the economy", followed in the next year by foreign trade activities, the five institutes predict, among other things.
"Economic output is currently at a level just above that before the pandemic. Since then, productivity in Germany has been lagging behind. Recently, foreign and domestic markets have had more headwinds than tailwinds," the statement said.
"Private consumption grew later and less dynamically than expected by the Joint Project Group for Economic Forecasting" of the five institutes.
"German exports fell despite the increase in global economic activity, mainly because demand for capital and intermediate goods, important for Germany, was weak and the price competitiveness of energy-intensive goods suffered," it explains among other things. .
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