Germany’s economic outlook may stabilize with new fiscal policy plans

Published 17/03/2025, 10:44
Germany’s economic outlook may stabilize with new fiscal policy plans

Investing.com -- Germany’s economy, which has been weak at the beginning of 2025, has the potential for stabilization through the fiscal policy plans of the country’s upcoming government, according to the economy ministry’s monthly report released on Monday.

These plans could help secure expectations and provide planning certainty.

The ministry’s report indicated that despite the likelihood of persistent foreign and geopolitical uncertainties, the fiscal policy plans currently under discussion by the future governing coalition could potentially have a stabilizing effect. This could enhance planning certainty for private households and the economy as a whole.

The report did not detail the specific fiscal policies being discussed, but it emphasized that these potential policies could help to stabilize expectations amidst a period of economic weakness and geopolitical uncertainty.

The ministry’s report reflects the government’s ongoing efforts to address the economic challenges Germany is facing at the start of 2025.

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