Germany's economy is expected to contract further in the first few months of 2023, according to a report released on Monday by the Bundesbank.
“Economic activity in the first quarter is likely to be somewhat weaker again than in the previous quarter,” the German central bank said.
In the last quarter of 2022, the economy contracted slightly due to inflation and the energy crisis. According to the Destatis statistical office, GDP fell by 0.2% at the time.
If the Bundesbank’s forecast comes true, Germany will enter a recession, as the economy will have been in decline for two consecutive quarters.
