Germany has become the third largest economy in the world, overtaking Japan – Kommersant

The slowdown of the Japanese economy led to its recession and allowed Germany to become third in the world in terms of nominal GDP in dollars after the United States and China. Today, February 15, the Japanese government published GDP data for the fourth quarter and full year 2023. In the fourth quarter, GDP fell by 0.4% to 591 trillion yen ($4.2 trillion). In turn, Germany’s nominal GDP in dollar terms, according to published in January, according to the country’s government, is $4.4 trillion. At the end of 2023, Germany’s GDP decreased by 0.3% due to a general slowdown in the global economy amid rising inflation and geopolitical tensions.

Economists attribute the significant slowdown in the Japanese economy to a decline in domestic demand and the yen exchange rate. As reported CNN Neil Newman, an analyst at the Tokyo consulting company Japanmacro, Japan imports 94% of its fuel and 63% of its food, so the weak yen has led to an increase in the cost of living for the population. “Private consumption has weakened noticeably, and the situation is unlikely to change much in the near future,” the analyst noted. “Unfortunately, in January the situation may become even worse due to earthquakes in the Sea of ​​Japan. People usually reduce consumption amid natural disasters.”

About the development of the German economy – in the material “Kommersant” “Germany and France did not agree on crises”.

Evgeny Khvostik