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Economics Minister Peter Altmaier (archive photo): cautious optimism
Photo: Paul Zinken / dpa
Despite the ongoing corona pandemic, the federal government is raising its growth forecast for the German economy. The gross domestic product (GDP) will increase by 3.5 percent this year, as the Ministry of Economic Affairs announced in its spring projections. In January, only 3.0 percent had been estimated. An increase of 3.6 percent is expected for 2022. "We will have regained our old strengths by 2022 at the latest," said Federal Economics Minister Peter Altmaier (CDU). "Our economy is strong, robust and ready for a new start." Last year it slumped by 4.9 percent due to the Corona crisis.
The recovery this year is expected to be carried primarily by exports.
These are expected to grow by 9.2 percent in view of the rapid recovery in important sales markets such as the USA and China.
As a result, the ministry expects higher investments.
"Catch-up effects also play a role, since investments have been postponed because of the crisis," it said.
The construction boom is also likely to continue, "due to the low interest rate environment and the high demand for housing."
The gradual easing of the corona restrictions should also gradually give the domestic economy and private consumer spending a boost.
More soon at Spiegel.de
mic / Reuters / dpa
