Posted 1/12/2024, 3:56:00 PM
Germany Faces Economic Struggles and Labor Unrest Challenging Scholz Government
- Germany, Europe's largest economy, is struggling with recession and facing protests by farmers and rail workers.
- Farmers are protesting loss of subsidies due to budget shortfall from a court ruling on COVID funds.
- Rail strike by train drivers union demanding shorter hours and higher pay has halted majority of passenger and freight trains.
- Protests and economic woes adding pressure on Chancellor Scholz's unpopular ruling coalition government.
- Despite current economic contraction, Germany's central bank forecasts inflation cooling, GDP growth increasing slightly, and real household income rising in 2024.