Preliminary data published by the Federal Statistical Office (Destatis) showed that in 2021 the German economy grew by 2.7% relative to 2020, which coincided with economists' forecasts. In 2020 - the first year of full lockdowns and tough social restrictions in the wake of Covid - Germany's GDP declined by 4.6% per annum.
"Despite the coronavirus pandemic, supply problems and a shortage of materials, the German economy managed to record an expansion in 2021, although GDP still remains below the pre-crisis level (-2% relative to 2019)," the president of Destatis said.
The data showed that economic indicators increased in almost all sectors of the economy last year. Gross value added in the manufacturing industry increased by 4.4% per annum, while most of the services sector also showed a noticeable increase. Economic indicators in the business services sector increased by 5.4% per annum, but decreased in the construction sector (-0.4% per annum).
Meanwhile, Destatis reported that economic indicators in most sectors of the economy still remain below the pre-crisis level, namely in the manufacturing sector (-6%), in other services (-9.9%), as well as in the utilities sector, education and healthcare.
The data also showed that household final consumption spending stabilized at 2020 levels, and government final consumption spending continued to support the growth of the German economy.
Meanwhile, exports of goods and services increased by 9.4% per annum, while imports increased by 8.6% per annum. Thus, in 2021, Germany's trade with foreign countries was only slightly below the level of 2019.