Overview

• Germany's GDP shrank by 0.2% in 2024, marking the second consecutive year of contraction, driven by industrial and construction sector declines.
• Hamburg led economic growth with a 1.7% GDP increase in 2024, buoyed by a 5.0% rise in its industrial sector, contrasting sharply with struggling regions.
• Thuringia and Rheinland-Pfalz saw steep economic declines of 1.3% and 1.1% respectively, with significant downturns in manufacturing and construction.
• Berlin's economy grew by 0.8% in 2024, outperforming the national average but slowing significantly compared to previous years, with weak growth in key service sectors.
• Experts predict stagnation or minimal growth for Germany in 2025, emphasizing the need for urgent reforms to address high energy costs, bureaucracy, and infrastructure deficits.