It’s 5 minutes to midnight for Germany’s economy, Bundesbank chief warns

Joachim Nagel, president of the Deutsche Bundesbank, during a Bloomberg Television interview following the presentation of the Bundesbank's 2024 Annual Report in Frankfurt, Germany, on Tuesday, Feb. 25, 2025. German parties should quickly form a new government after Sunday's election, to help prevent the economy failing to expand for a third straight year, according to Nagel. (Credit: Alex Kraus/Bloomberg via Getty Images)

It’s five minutes to midnight for Germany’s status as a global economic force, the head of its central bank has warned after overseeing the Bundesbank’s first annual loss in 45 years.

Germany’s economy has been rocked from all sides in the last couple of years, challenging the fundamental viability of its economic model.