The increase in German debt to 2,620 billion euros

According to Webangah News quoted by Mehr News Agency quoted by Deutsche Welle, the amount of German government debt increased by 62 billion euros, to an unprecedented figure of 2 1,620 billion euros have been reached.

This statistic was announced by the Central Bank of the Federal Republic of Germany known as Bundesbank and added that The debt ratio, which means the ratio of debt to GDP, has reached 63.7% for the second year in a row.

Statistics of the Central Bank of Germany also indicate that the country’s debt-to-GDP ratio has exceeded 60% for the fourth consecutive year. This limit is set according to the Maastricht agreements of the European Union as a ceiling for the ratio of member countries’ debt to GDP.

Last month, the Central Bank of Germany reported that the country has entered economic recession due to the decrease in foreign demand for its products along with the decrease in domestic demand and domestic capital.

Since the beginning of the military conflict between Russia and Ukraine in 2022, the price of energy carriers has increased in Germany, causing the industry-oriented economy of this country to fall for 4 quarterly periods. experience zero or negative growth consecutively.

The Central Bank of Germany has announced that we have not yet seen the beginning of the improvement of the economic situation in this country and probably in the first quarter of this year. a..”>We will decrease the gross domestic product of this country.

This bank has announced that with the economic growth of Germany becoming negative again in the current 3-month period, this country is probably in a recession.

The weak performance of the German economy has raised questions about the sustainability of this country’s economic model, and critics say that a significant part of this country’s economy, which is highly dependent on energy carriers and are vulnerable to price increases, it is losing its competitive power in the world market, and this issue will eventually lead to a change in the structure of the German economy.