German institute lowers 2024 forecast

BERLIN, Jan. 24 (Xinhua) -- The ifo Institute for Economic Research on Wednesday lowered its 2024 forecast for the German economy, expecting the country's gross domestic product (GDP) to grow by merely 0.7 percent instead of the 0.9 percent predicted last month.

The downward adjustment was based on the austerity measures implemented by the Bundestag in its budget resolution last week, according to ifo. The German government had to cut spending as a result of the failed reallocation of COVID-19 relief funds for climate measures.