The German think tank is expected to shrink the German economy next year

Xinhua News Agency, Berlin, September 12 (Reporter Zhu Sheng and Zhang Yuhua) The autumn forecast report released by the Institute of Economic Research, a well -known think tank in Germany shows that the German economy is expected to increase by 1.6%this year, but will shrink 0.3%next year.

Compared with the forecast released in June this year, the institute has reduced the expected expected to grow economic growth next year by 4 percentage points.

The report also shows that the inflation rate in Germany is expected to reach 8.1%and 9.3%, respectively, of which the inflation rate is expected to increase significantly by 6 percentage points compared with previous forecasts.

The report said that high procurement costs and energy suppliers will significantly increase their power and natural gas prices, which will lead to rising inflation rates in the first quarter of Germany to about 11%in the first quarter of next year, and the actual household income will decline sharply.

Economist Timo Walmemehozerz, an economist at the Institute of Economic Research Institute, said that the decrease in natural gas supply from Russia this summer and the sharp price increase caused by the German economic recovery will have a serious impact. It is expected that the German economy will not be until 2024Only then will return to normal levels.

[Editor in charge: Zhang Yongsu]

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