German Chancellor Olaf Scholz acknowledged the existence of problems in the economy and named the reasons that led to this.
The official is convinced that the lag in indicators is caused by a decline in exports and rising energy prices. The Chancellor remains confident, but does not want to solve problems through loans.
Olaf Scholz is confident that problems in the German economy are caused by weakening exports and rising energy prices, writes with reference to Welt am Sonntag.
The Chancellor openly calls the growth of Germany’s economic indicators weak, but, in his opinion, weakening export markets and China, first of all, are to blame for this.
Against this background, there is an increase in inflation and energy prices.
Among other things, the deterioration of the German economy is associated with the conflict in Ukraine and the echoes of the pandemic, Scholz states.
The Chancellor invited his compatriots not to lose optimism, otherwise the Germans risk not seeing the positive aspects while talking about the economic crisis.
In particular, Scholz noted the construction of factories for the production of batteries, semiconductors and the development of electric transport.
Meanwhile, the German Federal Statistical Office reported at the end of July that there was no growth in the country’s GDP for the second quarter of this year. According to the results of the first quarter, the country’s GDP fell by 0.3%, and according to the results of the fourth quarter of 2022, it lost 0.5%.
This means that the German economy is stagnating.
Given all these sad circumstances, the Economist, which Scholz retaliated by calling the “Anglo-Saxon newspaper,” in its article called Germany “the sick man in Europe.”
