German government slashes economic growth forecast for this year to 0.3%

How to revitalise the German economy is the central issue in the forthcoming election. Picture: AP

The German government has slashed its 2025 growth forecast for the country’s economy – Europe’s biggest – to just 0.3%, after it shrank for two consecutive years.

The new projection is much lower than the government’s previous forecast of 1.1% growth, issued in October.