German confidence in German economy to hit lowest level since 1991

The index of German confidence in the German economy in September this year will drop to a record low since 1991. This forecast is due to the propensity of the Germans to start saving money in order to be able to pay electricity bills in the future, according to “News”based on the GfK Consumer Sentiment Index.

It is noted that the index calculations “for September” will fall to minus 36.5 points from the August value of minus 30.9 points.

“Fear of rising electricity costs in the coming months is forcing many households to take precautionary measures and save money for future electricity bills. This further dampens consumer sentiment.”– said analyst Rolf Bürkl to the publication market watch.

The expert clarified that the situation could worsen with the onset of cold weather if fuel and gas supplies are depleted. The lack of resources, in turn, will cause an even greater increase in energy prices in Germany.

Earlier it was reported that the most severe winter awaits Europe due to the refusal of the European Commission from Russian gas. It is the rejection of the Russian resource due to sanctions against the Russian Federation that leads to a shocking increase in gas prices.

The German government has already said that the country is in a fuel crisis and is taking emergency measures to protect energy security. Thus, the authorities have introduced an additional fee for gas consumers.

On August 26, it became known that the European Union was preparing for a state of emergency due to a lack of energy resources.

Source: Ren.tv

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