The Prague Post - Germany cuts 2022 GDP growth forecast on virus woes

EUR -
AED 4.322222
AFN 82.383274
ALL 98.094032
AMD 452.482226
ANG 2.106206
AOA 1079.217438
ARS 1417.587445
AUD 1.790694
AWG 2.118419
AZN 1.992311
BAM 1.963264
BBD 2.376334
BDT 144.449174
BGN 1.957725
BHD 0.44392
BIF 3461.261121
BMD 1.176899
BND 1.500291
BOB 8.149916
BRL 6.393858
BSD 1.176975
BTN 100.997118
BWP 15.661409
BYN 3.851611
BYR 23067.228144
BZD 2.364068
CAD 1.604944
CDF 3390.646902
CHF 0.933987
CLF 0.028571
CLP 1096.423063
CNY 8.431425
CNH 8.426029
COP 4812.930076
CRC 593.953074
CUC 1.176899
CUP 31.187834
CVE 111.364128
CZK 24.729003
DJF 209.158837
DKK 7.460648
DOP 70.084809
DZD 152.559699
EGP 58.375029
ERN 17.653491
ETB 161.45094
FJD 2.629429
FKP 0.859864
GBP 0.858189
GEL 3.201104
GGP 0.859864
GHS 12.181276
GIP 0.859864
GMD 84.146913
GNF 10186.064023
GTQ 9.050408
GYD 246.234053
HKD 9.238607
HNL 30.752918
HRK 7.536745
HTG 154.295297
HUF 399.65561
IDR 19010.220549
ILS 3.962562
IMP 0.859864
INR 100.853927
IQD 1541.738208
IRR 49576.887301
ISK 142.216181
JEP 0.859864
JMD 188.908201
JOD 0.834401
JPY 169.743022
KES 152.412387
KGS 102.89537
KHR 4731.135881
KMF 494.901325
KPW 1059.209456
KRW 1592.686568
KWD 0.359731
KYD 0.980821
KZT 612.25249
LAK 25385.719703
LBP 105450.185938
LKR 352.868555
LRD 235.973239
LSL 21.03135
LTL 3.475078
LVL 0.711895
LYD 6.384686
MAD 10.596212
MDL 19.843273
MGA 5169.610157
MKD 61.544904
MMK 2471.458095
MNT 4216.9347
MOP 9.516901
MRU 46.782162
MUR 53.199392
MVR 18.123773
MWK 2043.686634
MXN 22.091384
MYR 4.957082
MZN 75.27433
NAD 21.030894
NGN 1809.424403
NIO 43.314676
NOK 11.873273
NPR 161.594987
NZD 1.93286
OMR 0.452519
PAB 1.176965
PEN 4.177583
PGK 4.85546
PHP 66.285325
PKR 335.478713
PLN 4.246874
PYG 9391.705858
QAR 4.284618
RON 5.079542
RSD 117.130903
RUB 92.038669
RWF 1685.319934
SAR 4.41421
SBD 9.823978
SCR 16.575371
SDG 706.724357
SEK 11.148567
SGD 1.497399
SHP 0.924858
SLE 26.472373
SLL 24678.996178
SOS 672.579424
SRD 43.85068
STD 24359.441328
SVC 10.298152
SYP 15301.959062
SZL 21.030903
THB 38.238604
TJS 11.651599
TMT 4.130917
TND 3.398299
TOP 2.756415
TRY 46.867388
TTD 7.992318
TWD 34.359621
TZS 3097.719278
UAH 49.178469
UGX 4231.085955
USD 1.176899
UYU 47.319903
UZS 14893.623323
VES 125.461592
VND 30741.20065
VUV 139.93762
WST 3.221751
XAF 658.454751
XAG 0.032699
XAU 0.000357
XCD 3.18063
XDR 0.81934
XOF 658.460368
XPF 119.331742
YER 285.103866
ZAR 20.857394
ZMK 10593.483743
ZMW 28.099592
ZWL 378.961125
  • CMSC

    0.0900

    22.314

    +0.4%

  • CMSD

    0.0250

    22.285

    +0.11%

  • RBGPF

    0.0000

    69.04

    0%

  • SCS

    0.0400

    10.74

    +0.37%

  • RELX

    0.0300

    53

    +0.06%

  • RIO

    -0.1400

    59.33

    -0.24%

  • GSK

    0.1300

    41.45

    +0.31%

  • NGG

    0.2700

    71.48

    +0.38%

  • BP

    0.1750

    30.4

    +0.58%

  • BTI

    0.7150

    48.215

    +1.48%

  • BCC

    0.7900

    91.02

    +0.87%

  • JRI

    0.0200

    13.13

    +0.15%

  • VOD

    0.0100

    9.85

    +0.1%

  • BCE

    -0.0600

    22.445

    -0.27%

  • RYCEF

    0.1000

    12

    +0.83%

  • AZN

    -0.1200

    73.71

    -0.16%

Germany cuts 2022 GDP growth forecast on virus woes
Germany cuts 2022 GDP growth forecast on virus woes

Germany cuts 2022 GDP growth forecast on virus woes

The German government on Wednesday lowered its economic growth forecast for 2022 as an Omicron-fuelled surge in coronavirus cases holds back Europe's industrial powerhouse.

Text size:

The country's gross domestic product is now estimated to expand by 3.6 percent, down from 4.1 percent in a previous forecast.

The start of the year "will still be subdued due to the coronavirus pandemic, especially in the service sectors", the economy ministry said in a report.

But the bounce-back in Europe's biggest economy should "noticeably" pick up pace once infections level off and global supply chain frictions ease over the course of 2022.

The ministry's forecast is more pessimistic than that of the Bundesbank central bank, which is pencilling in 4.2 percent growth this year.

Germany, whose export-oriented economy is particularly vulnerable to the global supply chain bottlenecks and raw material shortages caused by the pandemic, has seen its recovery lag behind other major European economies like France and Italy.

The flagship auto industry has been hardest hit, with giants like Volkswagen, BMW and Daimler forced to trim production at some plants over a shortage of semiconductor chips.

- Vaccine mandate -

German gross domestic product (GDP) grew by just 2.7 percent in 2021, official data showed earlier this month, well below the expected European Union average of around five percent.

The country of 83 million people reintroduced curbs on public life in recent weeks to tame a resurgence in Covid-cases, including measures that exclude the unvaccinated from restaurants, bars and non-essential shops.

Germany is nevertheless seeing record numbers of new infections blamed on the highly contagious Omicron variant. The country added another 164,000 cases over the past 24 hours -- an all-time high.

German lawmakers will on Wednesday begin debating the introduction of a vaccine mandate for adults.

The measure is backed by new Chancellor Olaf Scholz, whose government replaced Angela Merkel's cabinet last month, but has divided public opinion and sparked street protests.

Economy Minister Robert Habeck said in the report that "an increased vaccination rate should make it possible to sustainably contain the pandemic" this year and "accelerate the economic recovery".

Consumer spending will be a key growth driver, the ministry said, as businesses gradually resume normal service and meet pent-up demand from customers flush with savings.

Industrial firms can also expect to see higher demand for exports as the global recovery from the pandemic shock continues.

K.Pokorny--TPP