Free Trial

MNI BRIEF: German GDP Boost, 2022 Inflation Up By 2.5%

(MNI) LONDON
(MNI) Frankfurt

German GDP will increase by 2.4% in 2021 and by 4.8% in 2022, according to the latest ifo Germany Joint Economic Forecast, reaching nor­mal capacity utilisation some time next year. Consumer prices are expected to rise by 3% across year and by 2.5% in 2022, the forecast suggests. The German government's debt-to-GDP ratio is expected to decline from 71% in 2021 to 67% in 2022.

Germany's GDP has risen significantly since the spring, Ifo notes, but supply bottlenecks continue to hold back manufacturing production, with current growth driven principally by consumer-related services. A further slowdown is expected during the winter regardless of coronavirus infection numbers, but the negative effects of the pandemic and supply bottlenecks are expected to dissipate over the course of 2022.

MNI London Bureau | +44 20 3983 7894 | luke.heighton@marketnews.com
True
MNI London Bureau | +44 20 3983 7894 | luke.heighton@marketnews.com
True

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.