Germany’s economy is set for a prolonged slowdown as structural shifts curb industrial output and growth potential, according to the ifo Institute.
GDP is forecast to rise just 0.1 per cent in 2025, before edging up to 0.8 per cent in 2026 and 1.1 per cent in 2027.
Decarbonisation, digitalisation, demographic ageing, bureaucratic hurdles and US tariffs continue to weigh on adaptation and exports.