German retail sector

Economist Heiner Flassbeck argues Germany cannot achieve economic recovery without a thriving retail sector, pointing to the country's historical dependence on foreign trade. His analysis, published with charts on relevante-oekonomik.com under the title 'German misery in two pictures', links weak domestic consumption to Germany's broader economic malaise, suggesting depressed consumer spending is both symptom and cause of the downturn.

German department store chain Galeria has filed for insolvency for the fourth time in six years, underscoring the deep crisis in the country's bricks-and-mortar retail sector. The group, which employs thousands of staff across Germany, has repeatedly undergone restructuring and closures since 2019 as it struggles with high costs, weak footfall and online competition.