Revised figures show German economy shrank by 0.2% in fourth quarter
The German economy shrank more than expected in the fourth quarter of 2024, as gross domestic product (GDP) fell by 0.2%, final figures released by the Federal Statistical Office show.
The figures were a downward revision of 0.1 percentage points from initial figures released by the agency earlier in January.
While spending by private consumers and the government both rose, exports were significantly lower than in the previous quarter, according to the Statistical Office.
Germany’s economy, the largest in Europe, has shrunk for two years in a row, the worst stretch of stagnation for Germany in more than two decades.
For the full year of 2024, German GDP also fell by 0.2% compared to the previous year.
Economists don’t expect a significant upturn anytime soon. The German government has lowered its growth forecast for 2025 to 0.3%, down from a previous forecast of 1.1% several months ago.
The Bundesbank and the German Council of Economic Experts are also only forecasting very modest growth of 0.2% and 0.4% respectively.
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The German economy shrank more than expected in the fourth quarter of 2024, as gross domestic product (GDP) fell by 0.2%, final figures released by the Federal Statistical Office show.
The figures were a downward revision of 0.1 percentage points from initial figures released by the agency earlier in January.
While spending by private consumers and the government both rose, exports were significantly lower than in the previous quarter, according to the Statistical Office.
Germany’s economy, the largest in Europe, has shrunk for two years in a row, the worst stretch of stagnation for Germany in more than two decades.
For the full year of 2024, German GDP also fell by 0.2% compared to the previous year.
Economists don’t expect a significant upturn anytime soon. The German government has lowered its growth forecast for 2025 to 0.3%, down from a previous forecast of 1.1% several months ago.
The Bundesbank and the German Council of Economic Experts are also only forecasting very modest growth of 0.2% and 0.4% respectively.
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