In the first quarter of 2024, the German economy saw a growth of 0.2%, as announced by the statistics office, in line with preliminary data. Ruth Brand, president of the statistics office, stated that after a decline at the end of 2023, the German economy began 2024 with positive growth.
Despite a decrease in inflation, household consumption did not recover in the first quarter, falling 0.4% compared to the previous quarter. Government expenditure also decreased by 0.4% compared to the previous quarter. However, there was a significant rise in investment in construction, up 2.7%, following a weak second half of 2023. Investment in machinery and equipment fell by 0.2%.
Positive contributions to growth came from foreign trade, with exports of goods and services increasing by 1.1% compared to the previous quarter. Overall, while some sectors of the German economy showed mixed performance in the first quarter of 2024, others were able to recover and continue growing despite challenges such as declining inflation and weak consumer spending.
In summary, while some sectors of Germany’s economy showed mixed performance in Q1 2024, others were able to recover and continue growing despite challenges such as declining inflation and weak consumer spending.
According to Ruth Brand
