German think tank lowers country's 2022 GDP growth forecast

BERLIN

A Munich-based think tank lowered its expectation for Germany's gross domestic product growth from 5.1% to 3.7% for the next year.

The drop stemmed from the fourth wave of the pandemic and ongoing supply chains problems, the Institute for Economic Research (Ifo) said.

The institute kept the same level of forecast for this year at 2.5%, while increasing the forecast for 2023 from 1.5% to 2.9%.

It said the German economy will narrow by 0.5% in the last quarter of this year.

*Writing by Gokhan Ergocun