Posted 1/3/2024, 9:28:46 AM
Germany Faces Economic Storm Clouds in 2024
- Germany's economy stagnated in 2023 and forecasts for 2024 growth are bleak, likely below 1%
- High inflation, the energy crisis, war in Ukraine, and a sluggish global economy are hitting German consumers and exporters
- A court ruling rejected reallocation of €60 billion in COVID funds, leaving a hole in the budget and funding for climate projects
- The ruling and Germany's debt brake limit new borrowing, forcing austerity measures that could further slow growth
- Multiple forecasts predict GDP growth below 1% or even contraction in 2024 due to many overlapping crises