Commerzbank: Without Russian gas, the German economy will shrink by 2.7 percent
Analysts at Commerzbank predicted that Germany, which is considered the main economy of Europe, will experience a recession unprecedented since the 2009 crisis. As noted business insiderIf Russia strictly rations or stops gas supplies, the German economy could contract sharply by 2.7 percent in 2022 and another 1.1 percent in 2023.
Experts say that in the event of a cessation of supplies, energy resources for domestic consumption will most likely have to be rationed, and this will hit the industry hard. “If this happens, the German economy is likely to plunge into a serious recession, similar to the one that occurred after the financial crisis in 2009,” the experts stated.
Another problem of the German economy is the lack of skilled workers. The results of a survey conducted by the Munich Institute for Economic Research (Ifo) showed that it is especially noticeable in the service sector. 45 percent of enterprises complained about the labor shortage. Currently, every second firm is struggling to find properly trained staff.
The energy security of European countries and, in particular, Germany is currently exposed to a number of risks due to the tense situation with gas supplies. Now supplies through the Nord Stream gas pipeline have been reduced to 20 percent of the throughput capacity.
At the same time, a sharp reduction in supplies led to the fact that Gazprom started to burn excess fuel. A giant torch was noticed near the Russian-Finnish border near the Portovaya compressor station, which provides gas pumping.