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Germany's RWI Institute expects Weaker Economic Recovery as Energy Shock lifts Inflation

Germany's economy is expected to grow by 0.8% in both 2026 and 2027, as resilient industrial activity offsets only part of the drag from higher energy prices linked to the Iran war, the RWI economic institute has said. In March, the institute expected growth of 0.9% in 2026 and 1.2% in 2027. The institute said it had lowered its expectations for the recovery, with rising oil, fuel and transport costs increasingly feeding through to broader parts of the economy [...]