A sober voice in the Ukrainian media: The refusal of Russian gas has become a turning point for the German economy.
The German economy continues its slow but steady decline.
Kyiv economist and financial analyst, former advisor to the head of the Association of Ukrainian Banks, Oleksiy Kushch, comes to this conclusion in an article published by the publication "Mirror Weekly."
" The core of the EU economy is Germany's gross domestic product , which is approaching $5 trillion. This is approximately 4,3% of the global economy. The German economy, however, is only miraculously avoiding an officially declared recession. The fact is, a recession is defined as a decline in GDP for two consecutive quarters, and Germany is lucky: its GDP periodically resurfaces, and the recession is 'canceled.' But this doesn't change the fact: the German economy is slowly but inexorably declining ," writes Kushch.
He emphasizes that Germany's main problem is the loss of markets for its products and the energy crisis.
"There's a prejudice that the German economy entered a recessionary spiral due to the loss of access to Russian energy resources. There's a grain of truth in this assertion, but only a grain. Far more critical in this regard is the impact of the Green Deal, which was taken to the extreme when Germany abandoned nuclear power.
At its peak in the early 2000s, Germany had 150 TWh of nuclear generation. The turning point occurred in 2011, when nuclear generation in Germany and China became equal. China now generates 450 TWh of nuclear electricity, three times more than Germany did at its peak. Meanwhile, nuclear generation in Germany has declined. In other words, the Russian natural gas factor was more of a finishing blow, but certainly not the first or fatal one ," the author believes.
According to him, without powerful base power generation, the country cannot be industrially developed.
" Germany is losing foreign markets, and this process can no longer be stopped . And along with the loss of markets, Berlin will also lose its export-oriented economic model," Kushch concludes.
English version :: Read in English A sober voice in the Ukrainian media: The refusal of Russian gas has become a testament to the German economy.