BERLIN — The German government expects Europe’s largest economy to slide into recession next year as an energy crisis, rising prices and supply bottlenecks take their toll, its economy minister said, confirming a Reuters report.
Robert Habeck said on Wednesday that the economy would contract in the third and fourth quarters of this year as well as in the first quarter of 2023.
The German government now expects the economy to contract by 0.4% next year, he said, down from a previous forecast for 2.5% growth. The economy ministry is due to present its updated economic forecasts at a news conference later on Wednesday. (Reporting by Riham Alkousaa; Writing by Maria Sheahan; Editing by Thomas Escritt)