The German government has revised its 2024 economic forecast, expecting a 0.2% contraction, down from earlier predictions of 0.3% growth.
Weighed down by weak demand, high energy costs, and manufacturing struggles, Germany faces its second consecutive year of recession.
Structural challenges like an aging population, competition from China, and the energy transition add further pressure.
Despite this, the government anticipates recovery starting in 2025, with projected growth of 1.1%, supported by higher wages, easing inflation, and fiscal measures to boost industry and investment.
