German economy contracts 0.3% in Q4

By Tuba Ongun

The gross domestic product (GDP) in Germany shrank 0.3% in the fourth quarter of last year compared with the third quarter, in line with the initial estimates, according to a second reading released on Friday.

The figure followed an upwardly revised 0% quarter-on-quarter growth in the three months to September, escaping recession, Destatis data showed.

"In the final quarter, declining investment had a dampening effect on economic activity, while consumption increased slightly," said Ruth Brand, president of Destatis.

On an annual basis, the GDP in Germany dropped 0.2% in the fourth quarter of 2023.

For the whole year of 2023, Germany's economy contracted 0.3% from the previous year, as initially estimated.