HANDELSBLATT EXCLUSIVE

Germany Nearing Budget Red Zone

Deu Euro Kaufkraft
The money Germany's government has to spend is dwindling. Source: AP Photo/Michael Probst

It was a good run, but Germany’s budget windfall couldn’t last forever.

Europe’s largest economy will see its surplus shrink from €26 billion ($27 billion) in 2016 to just €4 billion in 2017, according to a study by the German Institute for Economic Research (DIW) obtained by Handelsblatt.

By 2018, Europe’s largest economy will run a deficit like most of its European neighbors, according to the Berlin-based forecaster. 

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