Over the past two years, against the background of the COVID-19 pandemic, the German economy has suffered damage of about 300 billion euros. This is evidenced by the results of a study by the Institute of German Economics in Cologne, reports DPA.
According to the experts of the Institute, a significant proportion of these losses relate to private consumption, which has also declined due to lockdowns. Analysts believe that German GDP could again reach pre-pandemic levels by the end of 2022, but even then there will still be a significant dip in economic productivity.
“Only under the condition of strong economic growth in the next few years, it will be possible, step by step, to eliminate the gaps in value added and income caused by the pandemic,” the experts emphasized.
Germany’s GDP is expected to rise to 3.6 this year. In 2021, this figure will be 2.7%. According to the Federal Statistical Agency, inflation in Germany reached its highest level in almost 30 years – prices for goods and services rose in December 2021 by an average of 5.3% compared to the same month in 2020, which is the highest indicator since 1992.