Germany’s Economy Will Grow by 2.7% in 2021

Preliminary data on Friday, January 14 showed that the German economy grew by 2.7% in 2021 after another year of rising Covid-19 cases, pandemic-related restrictions, and supply chain stresses, in line with expectations.

This comes after the eurozone’s largest economy contracted by 4.6% in 2020, the first year of full lockdowns and strict social restrictions in the wake of the coronavirus outbreak.

The Statistics Office said German growth is still 2% lower in 2021 than it was in 2019, indicating that the economy has not yet returned to pre-Covid levels.

The statistics office said the fiscal deficit reached 153.9 billion euros at the end of the year, higher than the 145.2 billion euros recorded in the previous year.