What will Germany's economy look like in 2022?

The Ifo institute forecasts the economy will grow by a stellar 5.1% in 2022, the strongest rate since the economic boom of the early 1990s following Germany's reunification. The unusually strong growth outlook is mainly due to the recovery and catch-up effects from the COVID-19 pandemic. But under the shiny surface, things look less bright.

Did economic output grow in 2022?

However, even accouting for unusually high inflation in the region of 10% in the peak months of 2022, economic output grew. The rate of growth in 2022, measured in gross domestic product (GDP), reached 1.9%, down from the 2.6% recorded in 2021.

What is Germany's macroeconomic outlook?

… The latest macroeconomic forecast for Germany. Germany’s economy is adjusting to the disruption of gas deliveries from Russia and the energy price shock they caused. Industry has proved resilient to elevated production costs and equipment investment is set to recover as full order books boost manufacturing and exports.

Did Germany's economic performance increase in 2021?

In contrast to 2020, economic performance increased in nearly all sectors last year, Germany's Federal Statistical Office (Destatis) said on Friday. However, the 2021 jump was not enough to neutralize the shock suffered in 2020, when production fell sharply and shrunk the GDP by 4.6%.