Germany has lowered its economic growth forecast due to the war in Iran — Spiegel
Germany has revised its economic growth forecast downward. The reason cited for this decision is the war in the Middle East, particularly in Iran, which is affecting the global economic situation.
This was announced by German Economy Minister Katharina Reiche, according to Spiegel.
The world’s third-largest economy has cut its growth forecast for this year in half (from 1% to 0.5%) and by nearly half for next year (from 1.3% to 0.9%).
And this is despite the fact that last year the German government decided to provide record-breaking loans for the next three years.
"The economic recovery expected this year is once again being hampered by external geopolitical upheavals. The war in Iran is leading to rising prices for energy and raw materials. This places a burden on households and increases costs for the German economy," the German minister emphasized.
Germanyhas identified Russia as the main threat and is preparing a new military strategy — DW.
As a reminder, Germany is considering reinstating mandatory military conscription.
Germany is also preparing for possible attacks by Iranian agents in Europe.
