The German economy will not fully recover from the corona crisis until 2028 at the earliest. That writes Der Spiegel based on a report by consultant agency McKinsey.
According to that report, there are signs that the impact of the pandemic on the German economy will in some areas be more significant than that of the 2008 financial crisis.
Germany made $ 43 billion last week, according to McKinsey, while in 2019 it contributed an average of $ 58 billion to the gross domestic product every week. A fall in demand for products is the leading cause.
Industry, especially the car sector and mechanical engineering, lost 4 billion euros. The wholesaler handed in 1.1 billion euros and restaurants had to do with 900 million euros less in a week.
Earlier this week, the German employment agency announced that more than 10 million workers were working fewer hours due to the crisis.
According to McKinsey, 80 percent of them work in the metal industry, the high-tech sector or other manufacturing companies.
McKinsey expects the German economy to shrink by between 10 and 14 percent in the second quarter. For the whole of this year, the consultants expect a decline of between 5 and 10 percent.