BERLIN (AP) — Germany’s government said Wednesday that its economy, Europe’s biggest, is on track to shrink for a second consecutive year — underlining the unpopular administration’s troubles as it heads into a difficult election year.

Economic Key Facts Germany. With a Gross Domestic Product (GDP) of 4,186 billion Euros in 2023, Germany is the third-largest economy in the world after the United States and China, making it Europe's largest economy.

Germany aims to cut its greenhouse emissions by 65% by 2030 compared with 1990, a step to becoming carbon neutral by 2045. Meeting 2030 CO2 targets needs government financing, which has...

The snapshot provides a summary of Germany's economic performance and challenges, based on OECD reports and analyses. It covers topics such as COVID-19 impact, green and digital transitions, fiscal policy, and tax expenditures.

Germany is struggling. It was the only G7 economy to shrink last year and is set to be the group’s slowest-growing economy again this year, according to our latest projections. Some pundits say Germany’s economic model is irreparably broken.

The latest macroeconomic forecast for Germany by the European Commission, covering the period from 2023 to 2025. The report projects a gradual recovery of the German economy amid high geopolitical risks, with moderate GDP growth, stable unemployment, easing inflation and fiscal consolidation.

Germany’s economy was showing signs of strain long before the pandemic struck, Russia invaded Ukraine and China began to throw money at struggling industries.

Overall, the German economy remains robust. The gross domestic product (GDP) rose by 0.4% in the third quarter of 2022 on the second quarter of 2022, adjusted for price, seasonal and calendar variations.

Germany’s governing coalition has collapsed after disagreements over the country’s weak economy led Chancellor Olaf Scholz to sack his finance minister.