Germany’s economy faces renewed pressure as the German Council of Economic Experts downgraded its growth outlook, warning that Chancellor Friedrich Merz’s fiscal reforms are unlikely to deliver the promised revival. The council’s report, released Wednesday, projects GDP growth of just 0.9% in 2026, down from its previous estimate of 1.0%.<br /><br />The experts said that while Merz’s government has implemented a spending boost, much of the money has gone toward maintaining public services rather than funding infrastructure or innovation — limiting its potential to lift long-term growth.<br /><br />#Germany #GermanEconomy #FriedrichMerz #EconomicForecast #GermanyGrowth #Recession #EuropeEconomy #APT #EconomicExperts #MonikaSchnitzer #GermanyExports #FiscalReforms
