German economy to take hit from Iran war during Q2, ministry says

Published May 15, 2026 Updated May 15, 2026 11:59am

Economic growth in Germany, which was just 0.3 per cent in the first quarter, will likely take a significant hit from the effects of the Iran war in the second quarter, the federal economy ministry warned, Reuters reports.

“Rising prices, supply chain issues and uncertainty are weighing on sentiment among businesses and households,” the ministry said in its monthly report.

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