German gross domestic product (GDP) rose by 0.2% in the first quarter of 2024 compared to the previous quarter, the Federal Statistical Office reported on Tuesday based on preliminary data.
According to economists, Europe's largest economy could now be over the worst. In its latest forecast, the German government saw increasing signs of an economic turnaround. However, a strong economic recovery is not expected for the time being.
At the end of 2023, economic output had fallen by 0.5% compared to the previous quarter, adjusted for price, calendar and seasonal effects.
In 2023 as a whole, Germany slipped into a slight recession with a decline in GDP of 0.2%, adjusted for price, according to the latest calculations.
The export-orientated German economy felt the effects of the slowdown in the global economy as well as the temporarily high energy prices and rapidly rising interest rates. There is also a shortage of skilled labour and companies are complaining about too much bureaucracy.
According to the statistical office, the minor growth in the first three months was driven by rising construction investment and exports. Private consumer spending, on the other hand, declined.
