The Federal Ministry of Economics anticipates a resurgence in Germany's economy later in the year. Led by Federal Minister of Economics Robert Habeck (Greens), the ministry attributed this delay to poor economic indicators, weak domestic demand, and the absence of a turnaround in foreign trade. Habeck: ''Despite positive trends in industrial production, construction, and foreign trade at the beginning of 2024, a noticeable economic recovery is not yet in sight. This is evidenced by ongoing weak domestic demand, high financing costs, and subdued sentiment among private households and businesses.''
You have to ask Yourself: on what goddamn planet lives this guy??
The ministry emphasized that given the weak indicators and continued high uncertainty among private households and businesses, most economic research institutes in their recent economic forecasts for the first quarter of 2024 anticipated another slight decline in gross domestic product.
"It is only later in the year, with further declining inflation rates, rising wages and incomes, a consistently stable labor market, and increasing impulses from the foreign economy, that a noticeable economic revival can be expected," the ministry stated its expectation.
''The situation is good, the economic data is just so bad'', the minister said last week and stressed his unbeaten rhetoric competence and sophistic greatness. It is despairing: these figures have become disconnected from reality in every way. Not a word about the 35% year-on-year decline in building permits, a four to five percent drop in industrial production, a rise in government debt by billions and a sharp drop in consumer spending and record bankruptcies in industry and trade. And for figures like Robert Habeck, inflation has of course just fallen from the sky.
Not a word about the insane, dice-headed energy policy of phasing out nuclear power, which has put German industry, the heart of this economy, the heart of the European economy, out of competition. The Germans will be very sorry for this decision. Last year alone, Germany lost 136 billion euros in direct investment abroad. A unique record.
These politicians refuse to acknowledge any reality. There is not a word about the overregulation of nonsensical climate legislation or the inflation fueled by massive government debt—no mention, no reconsideration, just a blind march forward into the Green Walhalla of childish unrealistic policies.
Any take on Vonovia? A sign of things to come?
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Vonovia is the mirror image of the completely misguided economic policy in Germany. The high interest rates, which are not their fault, over-regulation, the thousands of regulations as part of the net zero policy, rent caps and repeated expropriations have caused such serious damage to this sector that it will not be able to recover for years. Construction has come to an almost complete standstill
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Don't forget their foreign investments into other markets - which is going to be an interesting ride. Sweden is going to cost them, for sure.
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Ohhhh yes. You're right. Let the games begin!
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A dire warning by the german finance minister: they are runníng out of money....
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