Posted 2/21/2024, 6:49:45 PM
Germany Slashes 2023 Growth Forecast on Skilled Labor Shortage, High Rates, Russia Gas Loss
- Germany cut its economic growth forecast for 2024 to 0.2% from 1.3% previously
- The economy is struggling with lack of skilled labor, high interest rates, lagging investment
- Loss of Russian gas led to spike in energy costs that hit industries hard
- Inflation eroded purchasing power but wages are now rising to make up for it
- Government had to revise spending due to constitutional deficit limits, cancelling farm diesel subsidy
