According to the data of the Federal Statistical Office of Germany (DESTATIS) retail sales in Germany decreased by 8.7 percent in real terms in January, although an increase of 1.2 percent is expected compared to the same month of the previous year.
Nominally, retail sales fell 7.4 percent year-on-year.
On a monthly basis, seasonally adjusted retail sales decreased by 4.5 percent in real terms and 3.9 percent in nominal terms compared to November.
Pandemic will affect the German economy by 2025
The results of the study carried out by the Institute for Employment Research (IAB) in Germany revealed that the German economy will feel the effects of the coronavirus by 2025, and even this effect is likely to last even longer.
Enzo Weber, one of the experts who wrote the research report, said that the economy is expected to recessed by 0.6 percent in the next five years due to the corona crisis.
Weber predicted that the employment market would decrease by around 200,000 people by 2025. According to the research of the Institute for Employment Research (IAB), 500 thousand jobs will be lost due to the pandemic in this process, while 300 thousand new job opportunities will arise.
Sectors that will be positively affected
The Nuremberg-based institute stated that the long-term effects of the pandemic will hit the retail, commercial service, accommodation, transportation and aviation sectors in particular. On the other hand, positive effects are expected in the informatics, public services and medical product sectors.
Stating that the pandemic caused a “transformative recession”, Weber called for a focus on vocational education and creating new positions as a way out of the crisis.