Quarterly Report Germany II/2024: Sluggish economic recovery

The German economy is taking a long time to get into gear. Real economic output is heading for minimal growth of only 0.3 percent this year. Private consumption only picking up pace slowly. Consumers remain reticent despite falling prices and high increases in nominal wage agreements. Manufacturing is not really making any progress. We still expect industrial production to drop by around 1.5 percent this year compared to last year.