Germany slashes 2024 growth forecast to just 0.2% amid slower-than-expected rebound

Robert Habeck, German Minister for Economy and Climate Protection and Vice Chancellor, is pictured during the weekly meeting of the cabinet on February 21, 2024 in Berlin, Germany.

Florian Gaertner | Photothek | Getty Images

Germany’s gross domestic product is now expected to grow by 0.2% this year, down from a previous forecast anticipating a 1.3% expansion, German Economy Minister Robert Habeck said Wednesday.

He added that the government now expects the German GDP will grow by 1% in 2025.

The country narrowly avoided a recession in the second half of 2023, despite its GDP declining by 0.3% in the final quarter.

Inflation is expected to fall to 2.8% throughout 2024, before returning to the 2% target range again in 2025, Habeck said.

This is a developing story. Please check back for updates.

Source: https://www.cnbc.com/2024/02/21/germany-slashes-2024-growth-forecast-to-just-0point2percent-amid-slower-than-expected-rebound.html