The German economy data shows figures worst since 2009
According to the German Ifo Institute for Economic Research, the German economy is witnessing an unprecedented decline in demand for goods and services, the worst since the global financial crisis in 2009.
The institute in its report released on Monday, 41.5% of German companies reported this decline in its latest survey, which represents an increase of 2.1 percentage points compared to the previous survey three months ago.
The institute indicated that this percentage is the worst since 2009, as it exceeded for the first time the demand shortage recorded during the Covid pandemic by a small margin.
“The lack of demand continues to be a drag on economic development in Germany… There is hardly a sector that has not been affected by this downturn,” economist Dr. Klaus Wohlrabe, the director of the survey department at the Ifo institute.
The German industrial sector in particular is suffering from a decline in its competitiveness, coinciding with Europe’s withdrawal from reliance on relatively cheap Russian energy sources.
In a related context, French President Emmanuel Macron called for strengthening the European Union’s competitiveness to confront the United States and China, warning that the European economy could face the risk of disappearance if serious steps aren’t taken.
