“The German economic institutes lower their growth forecast to 2.4% for 2021” according to this report from the Reuters agency.
“Germany’s major economic institutes will significantly reduce their growth forecast for Europe’s largest economy this year, from 3.7% to 2.4%”.
And do you know why?
You’ll never Gess… “Due to bottlenecks in supply chains that are slowing post-COVID recovery”.
These four institutes – RWI in Essen, DIW in Berlin, Ifo in Munich and IWH in Halle – are due to publish their joint forecast today Thursday.
“They will, on the other hand, raise their growth forecast for 2022 from 3.9% to 4.8% and will project an increase in Germany’s gross domestic product (GDP) of 1.9% in 2023,” the two sources said. “.
As a reminder, last year German GDP fell by 4.6% much less sharply than French GDP, Germany having never confined as harshly as France without the Germans having died in greater numbers than with us.
You will notice that with a growth of only “2.4%” Germany will not have compensated for its recession of last year.
Germany is very industrial and all German factories suffer from shortages. We are starting to see the result of these shortages in production and therefore in economic growth figures.
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Source Boursorama.com here