Bundesbank expects inflation above 7 percent and weaker growthAccording to the Bundesbank, the consequences of the war in Ukraine are slowing economic growth in Germany and driving up inflation. At 1.9 percent growth, the economic recovery should continue after the Corona low, as the Bundesbank forecast on Friday. The Bundesbank economists are now also much less optimistic for 2023, expecting economic growth of only 2.4 percent instead of 3.2 percent. According to preliminary figures, the annual inflation rate in Germany jumped to 7.9 percent in May, the highest level in almost 50 years. From next year, the inflation rate in Germany is likely to fall gradually, according to estimates by the Bundesbank.

Source: The Munich Eye June 13, 2022 05:17 UTC