Overview

• Germany's economy shrank by 0.3% last year, the first contraction since the onset of the Covid-19 pandemic.
• Finance Minister Christian Lindner denies Germany is the 'sick man' of Europe, instead describing it as a 'tired man' in need of structural reforms.
• Germany's economic struggles have been attributed to multiple crises including high inflation, interest rates, and weak domestic and foreign demand for German goods.
• The country's reliance on Russian natural gas and the subsequent energy crisis following Russia's invasion of Ukraine have significantly impacted Germany's industry.
• Germany is also grappling with the effects of China's economic troubles and the shipping crisis in the Red Sea.