135views
he Munich Institute “Ifo” said that inflation has “eaten” the savings of Germans that they accumulated during the pandemic.
The head of the Economic Research Department of “Ifo”, Timo Vollmershauser, clarified that private households in Germany in the period from April 2020 to March 2021 saved about 70 billion euros more compared to the average.
However, as bank balance sheets show, consumers have been spending more than they saved last year, so that by the end of the first quarter of this year, excess deposits were almost completely spent.
“Such a practice continued in the second quarter, at an almost unchanged pace,” Vollmershauser said, pointing to inflation as the main reason for the excessive spending of German citizens’ savings.
add a comment
