Posted By Uma Rajagopal
Posted on December 20, 2024
By Maria Martinez
BERLIN (Reuters) – Germany’s federal and state governments’ tax revenue rose 9.0% in November compared with the same month last year, the finance ministry said in its monthly report on Friday, reaching a total of 61.0 billion euros ($63.43 billion).
A positive trend has persisted in the first 11 months of the year despite some volatility, it said. Tax revenues rose by 3.8% in January through November, when compared with the same period last year, reaching a total 747.9 billion euros.
Forward-looking economic indicators continue to reflect a difficult economic situation, which is starting to leave its markoin the labour market, the report said.
How to revive Europe’s largest economy will be a central theme in a snap national election scheduled for Feb. 23.
In its latest forecast, the German government expects the economy to contract by 0.2% in 2024, which would make it the only member of the Group of Seven major industrial democracies to post shrinking output for the second year running.
For the whole of 2024, analysts see tax revenue increasing to 855.2 billion euros, up 3.1% from the previous year, according to the report.
($1 = 0.9617 euros)
(Reporting by Maria Martinez, Editing by Friederike Heine)