{"id":1511998,"date":"2025-01-06T10:00:00","date_gmt":"2025-01-06T15:00:00","guid":{"rendered":"https:\/\/bugaluu.com\/news\/?p=1511998"},"modified":"2025-01-06T10:00:00","modified_gmt":"2025-01-06T15:00:00","slug":"on-average-germans-are-poorer-shocking-report-for-the-eus-largest-economy","status":"publish","type":"post","link":"https:\/\/bugaluu.com\/news\/on-average-germans-are-poorer-shocking-report-for-the-eus-largest-economy\/1511998\/","title":{"rendered":"“On Average, Germans Are Poorer” – Shocking Report For The EU’s Largest Economy"},"content":{"rendered":"

“On Average, Germans Are Poorer” – Shocking Report For The EU’s Largest Economy<\/span><\/p>\n

\n

Authored by Liz Heflin via Remix News,<\/em><\/a><\/p>\n

Germany could enter its third year of economic recession in 2025,<\/strong> according to a report out of the Handelsblatt Research Institute (HRI), cited by the\u00a0Mandiner news portal<\/a>, meaning it will face the longest economic crisis in its post-World War II history.\u00a0<\/p>\n

<\/a><\/p>\n

Germany, the European Union\u2019s largest economy, may shrink by 0.1 percent this year after a contraction of 0.3 percent in 2024 and 2023.<\/p>\n

\u201cThe German economy is in the midst of the biggest crisis in post-war history,\u201d<\/strong><\/em> said Bert R\u00fcrup, chief economist at HRI.<\/p>\n

\u201cThe pandemic, the energy crisis, and inflation have made Germans poorer on average.\u201d<\/em><\/p>\n

The HRI is not alone.<\/p>\n

In December, the German central bank lowered its growth forecast for 2025 to 0.2 percent from 1.1 percent forecast in June.\u00a0<\/p>\n

According to surveys, German citizens also say they are most worried about the economy ahead of the snap election on Feb. 23.\u00a0<\/strong><\/p>\n

The dismal economic performance does not bode well for Minister of Economic Affairs Robert Habeck, who holds a degree in philosophy and is the Greens candidate for chancellor in the upcoming election.<\/p>\n

Some have joked that if Habeck were to become chancellor, Germany would soon need economic aid.<\/p>\n

The\u00a0Nius news agency<\/a>\u00a0has also reported on data from the credit agency Creditreform, which reported there were almost a quarter more corporate bankruptcies in 2024 versus 2023, with 22,400 companies becoming insolvent, the highest number since 2015.<\/p>\n

The number of consumer bankruptcies increased by 8.5 percent to just over 72,000 as well.\u00a0<\/p>\n

Meanwhile, credit insurer Allianz Trade expects even more bankruptcies in 2025, including a higher number of consumer bankruptcies.\u00a0<\/strong><\/p>\n

The mood in industry, especially manufacturing, is particularly bad, says Nius, with nearly twice as many pessimistic about 2025 as those who have a more optimistic outlook.<\/p>\n

In December, the Ifo business climate index continued to slide, reaching its lowest level since May 2020. <\/strong>Hardly a week goes by without an industrial group announcing job cuts, and a slowdown in investment means even fewer jobs, they noted.<\/p>\n

In terms of layoffs, manufacturing and construction have been the hardest hit.\u00a0<\/p>\n

While the HRI report shows that employment increased slightly to 46.1 million people last year, the group now expects a decline of around 10,000 employed people per month.<\/p>\n

HRI also sees no signs of an uptick in consumption, with inflation eating into disposable income despite gradually rising real wages.<\/strong> According to an Ipsos survey from December, only 38 percent of Germans believe the country is on the right track overall.<\/p>\n

Read more here…<\/em><\/a><\/p>\n<\/div>\n

Tyler Durden<\/a><\/span>
\nMon, 01\/06\/2025 – 05:00<\/span><\/p>\n

\u200bhttps:\/\/www.zerohedge.com\/geopolitical\/average-germans-are-poorer-shocking-report-eus-largest-economy<\/a>\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"

“On Average, Germans Are Poorer” – Shocking Report For The EU’s Largest Economy Authored by Liz Heflin via Remix News, Germany could enter its third…<\/p>\n","protected":false},"author":0,"featured_media":1511999,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_post_was_ever_published":false},"categories":[1],"tags":[],"class_list":["post-1511998","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","wpcat-1-id"],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/pbimBl-6ll4","jetpack_featured_media_url":"https:\/\/bugaluu.com\/news\/wp-content\/uploads\/sites\/3\/2025\/01\/2025-01-05_11-37-48-dsM0Gr.jpeg","_links":{"self":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts\/1511998","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/comments?post=1511998"}],"version-history":[{"count":0,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts\/1511998\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/media\/1511999"}],"wp:attachment":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/media?parent=1511998"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/categories?post=1511998"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/tags?post=1511998"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}