Business representatives fear that the economic slump will last longer. “There is a risk of a recession that will very likely last until 2024,” warns Bertram Brossardt, Managing Director of the Bavarian Business Association (vbw). The economic institutes have so far expected the economy to shrink slightly in 2023, but then to recover. Brossardt explains his skepticism with an “unprecedented crisis cocktail”. In addition to exploding energy costs, many companies feared an electricity blackout and that gas would not be enough. Bottlenecks in material and raw materials come from the fact that inflation reduces consumption: “The existence of our economy is in danger”. In an unusual step, IG Metall and employers in North Rhine-Westphalia are appealing to politicians. Because of the threatening energy price and supply crisis, the federal government must quickly implement the announced protective shield. Politicians should not “lose valuable time through unnecessary wrangling between the federal and state governments”. Vbw Managing Director Brossardt called for the advance payments of corporate taxes to be suspended completely.
Economy – “Recession also in 2024” – Economy
