Economic turnaround in danger: IMF drastically lowers forecast for Germany!

Economic turnaround in danger: IMF drastically lowers forecast for Germany!

The German economy is on an alarming course! The International Monetary Fund (IMF) has cut its growth forecast to a shocking zero. Next year, only an increase of 0.8 percent is predicted - a decrease of 0.5 percentage points compared to previous estimates. Although the IMF describes the global outlook as stable, the outlook for the German economy remains bleak.

Resignation of the federal government

The federal government also has to adjust its gloomy expectations this year and is expecting another recession! Federal Minister of Economics Robert Habeck announced two weeks ago that gross domestic product would shrink by 0.2 percent in real terms in 2024. This is a devastating setback! In the spring, the government still dared to hope for growth of 0.3 percent. And that's not all: the German economy suffered a decline of 0.3 percent last year. The reasons are manifold - demographic change, challenging competitiveness and the persistently weak demand from inside and outside are now making themselves bitterly noticeable.

Habeck issued an urgent warning at the employers' day in Berlin: The current figures and forecasts are simply not acceptable for the medium term! The structural problems are adding up and the prospect of economic stability seems to have become distant. A bleak picture for Germany's economic strength and a worrying outlook for everyone who hopes for an improvement.