Al Mayadeen English

  • Ar
  • Es
  • x
Al Mayadeen English

Slogan

  • News
    • Politics
    • Economy
    • Sports
    • Arts&Culture
    • Health
    • Miscellaneous
    • Technology
    • Environment
  • Articles
    • Opinion
    • Analysis
    • Blog
    • Features
  • Videos
    • NewsFeed
    • Video Features
    • Explainers
    • TV
    • Digital Series
  • Infographs
  • In Pictures
  • • LIVE
News
  • Politics
  • Economy
  • Sports
  • Arts&Culture
  • Health
  • Miscellaneous
  • Technology
  • Environment
Articles
  • Opinion
  • Analysis
  • Blog
  • Features
Videos
  • NewsFeed
  • Video Features
  • Explainers
  • TV
  • Digital Series
Infographs
In Pictures
  • Africa
  • Asia
  • Asia-Pacific
  • Europe
  • Latin America
  • MENA
  • Palestine
  • US & Canada
BREAKING
Yemeni Armed Forces spokesperson Brigadier General Yahya Saree: The missile force carried out a major operation using the Palestine 2 ballistic hypersonic missile, hitting several targets in occupied Yafa.
Sirens sound in large areas of occupied Palestine after a missile launch from Yemen was detected
Al Mayadeen's correspondent: 14 martyrs arrive at al-Shifa Hospital following Israeli massacre of al-Sultan Family north of Gaza.
Qatari PM: We must not surrender to the arrogance of extremists and pursue our quest for a 'two-state solution'
Qatari PM: The only path to peace begins through negotiations and a ceasefire
Qatari PM: We demand that the Security Council assume its historical responsibility, as silence in the face of the law of the jungle undermines international peace and destabilizes the UN system
Qatari PM: The extremists who rule "Israel" do not care about the lives of the "hostages"; otherwise, how can the timing and location of the attack be explained?
Qatari PM: 'Israel's' attack on Hamas leaders in Doha is a violation of Qatar's sovereignty
Qatari PM: The ongoing [Israeli] violations only prove one thing: the Israeli officials' drunkenness on power amid impunity
Yemeni Ministry of Health: The death toll from the Israeli aggression on Sanaa and Al-Jawf Governorate has risen to 46, in addition to 165 injuries, including a large number of women and children, according to a non-final toll

Germany's faces longest post-war recession, report finds

  • By Al Mayadeen English
  • Source: Agencies
  • 4 Jan 2025 18:41
  • 1 Shares
3 Min Read

The Federal Statistical Office is expected to confirm the contraction for 2024 when it releases official data on January 15.

Listen
  • x
  • AP
    A BP refinery steams in Gelsenkirchen, Germany, while Europe's biggest economy is still shrinking for a second consecutive year and German industrial workers fear for their jobs, on Thursday, October 24, 2024. (AP)

The German economy is heading toward its most prolonged recession since World War II, with three consecutive years of contraction anticipated by 2025, according to a report by the Handelsblatt Research Institute (HRI).

The institute projects a 0.1% economic decline in 2025, following contractions of 0.3% in 2023 and 0.2% in 2024. This surpasses the two-year downturn experienced in the early 2000s and reflects the compounded impact of an energy crisis, persistent inflation, and the aftermath of the COVID-19 pandemic.

"The German economy is in the midst of its greatest crisis in post-war history," stated HRI chief economist Bert Rurup. Demographic factors, particularly an aging population, are exacerbating the situation. The HRI estimates that Germany's annual growth potential has dropped to just 0.5%. "The economy is at the beginning of a strong aging spurt," Rurup added.

The Federal Statistical Office is expected to confirm the contraction for 2024 when it releases official data on January 15. While HRI predicts a slight economic recovery in 2026, growth is expected to reach only 0.9%, significantly below pre-crisis levels. The German central bank also revised its growth forecast for 2025 in December, lowering it from 1.1% to 0.2%.

Related News

Millions of children in UK going hungry amid economic crisis

Will the idea of pan-Africanism survive migration, economic crises?

Energy Crisis

One of the key drivers of Germany's economic troubles is the loss of access to affordable Russian gas. The country's reliance on liquefied natural gas (LNG) from the US has driven energy costs higher, severely affecting manufacturers and small businesses. Rising costs have led to shutdowns and bankruptcies across several industries, including major players such as Volkswagen.

Read more: India surpasses China as Russia's top oil importer, data reveals

Before the escalation of the Ukraine conflict, Germany depended on Russian gas for over half of its energy needs. EU sanctions against Russia led to drastic reductions in gas deliveries, culminating in the destruction of the Nord Stream pipelines in September 2022. Most recently, Russia officially suspended gas transit to the EU through Ukraine on January 1, 2025 following Ukraine's refusal to renew the transit agreement.

Economic Struggles

Germany's export sector, particularly high-value manufacturing, remains a relative strength, but even it faces challenges from global instability and soaring energy prices. Former Chancellor Angela Merkel has criticized the decision to cut ties with Russian gas, calling the past arrangement a "win-win situation" in a December interview with France 2 TV. "Now prices have exploded," she remarked.

Economic concerns have become a central issue for Germans. A December poll by ARD identified the economy as the top voter priority. These concerns contributed to the collapse of Chancellor Olaf Scholz's coalition in November, triggering an early general election scheduled for February 23.

  • economic crisis
  • Energy crisis
  • Germany
  • Recession
  • German economy

Most Read

The damaged building in the Katara neighborhood, Doha, Qatar, September 9, 2025 (Social media)

Hamas delegation survives Israeli assassination attempt in Qatar

  • Politics
  • 9 Sep 2025
Israeli police and rescue teams respond at the scene of a shooting attack where several people killed and injured in Jerusalem, Monday, Sept. 8, 2025 (AP)

Al-Quds shooting: 7 settlers killed, several critically injured

  • Politics
  • 8 Sep 2025
Pro-"Israel" conservative Charlie Kirk shot during Utah speech

Pro-'Israel' far-right Charlie Kirk shot dead during Utah speech

  • US & Canada
  • 11 Sep 2025
Damage sustained after a Yemeni drone exploded in Ramon Airport, southern occupied Palestine, Sunday, September 7, 2025 (Social Media)

Yemeni drone successfully hits Ramon Airport in southern Palestine

  • Politics
  • 7 Sep 2025

Coverage

All
The Ummah's Martyrs

Read Next

All
Iranian Secretary of Supreme National Security Council Ali Larijani, waves as he leaves the grave of former Hezbollah Secretary-General Sayyed Hassan Nasrallah, in Beirut, Lebanon, Wednesday, August 13, 2025 (AP)
Politics

Iran’s Larijani urges Islamic nations to act over Gaza crisis

A passerby wearing a keffiyeh walks past a banner reading 'Welcome to the people's university for Palestine' at Oxford University on 7 May 2024 (AFP/Adrian Dennis)
Politics

Universities cut ties with Israeli academia over war on Gaza

The lethal injection table is shown in the execution chamber at the Utah State Correctional Facility after the Taberon Honie execution Thursday, August 8, 2024, in Salt Lake City. (AP Photo/Rick Bowmer, Pool)
Politics

Charlie Kirk killing renews debate on death penalty in the US

A banner depicting US President Donald Trump is seen at the arrival terminal of the Incheon International Airport, in Incheon, South Korea, Friday, September 12, 2025. (AP Photo/Ahn Young-joon)
Politics

South Korea condemns US immigration raid that detained 300 workers

Al Mayadeen English

Al Mayadeen is an Arab Independent Media Satellite Channel.

All Rights Reserved

  • x
  • Privacy Policy
  • About Us
  • Contact Us
  • Authors
Android
iOS