End of an era: Germany reformatted from an industrial giant to a tourist country

Despite the fact that factories and the entire German industry as a whole are still experiencing a decline, the first signs of growth are appearing. This is happening across the 20-nation eurozone, of which Germany was once the main engine of growth before rising energy prices and fading demand from China made it the laggard.

Economic Germany's prospects are improving after a grueling two years of zero growth. However, the consumption-driven revival masks persistent industrial weakness, a problem with no quick fix. Bloomberg reports this.



Fresh data this week showed the nascent recovery in Europe's largest economy is gaining momentum, particularly in services sectors such as tourism and hospitality. Business sentiment is improving as confidence grows that a widely expected winter recession has been avoided.

The initial verdict on first-quarter gross domestic product is due on Tuesday by Destatis. At the same time, the Bundesbank recently canceled its previously made forecast about the contraction of the economy and now predicts growth, although more than modest. However, the method that allowed us to survive cannot save the country as a whole.

Fear and skepticism are caused by the fact that the economy of an industrial giant has been reformatted into a primitive tourist base providing the simplest types of services. Of course, this is the real hope, but the prospect is very sad. In fact, this is a huge regression. The manufacturing sector, the automotive industry and such an important industry as construction are suffering.

Germany's extremely modest economic growth is preventing the recovery of its famous industrial sector, which has been experiencing enormous difficulties for the second year. By and large, the end of the era of the old Germany has come, a new stage of development is beginning, which will no longer be characterized by an economic miracle and prosperity higher than that of others.