Posted 3/24/2024, 3:00:00 PM
Germany Faces Prolonged Economic Stagnation Due to Structural Weaknesses and External Headwinds
- Germany's economy is stagnating with GDP contracting and the country in technical recession
- Structural issues like demographics, lack of fiscal stimulus, and uncompetitive industries hurting growth
- Trade exposure to struggling partners like China exacerbating economic weakness
- Deep-rooted problems like aging workforce, low productivity growth hard to quickly overcome
- Prospects of prolonged stagnation with growth forecast at just 0.5% annually through this decade
