Merz Says Tackling Germany’s Economic Woes Tougher Than Expected

German Chancellor Friedrich Merz said tackling the country’s economic challenges is proving to be a far greater undertaking than he initially anticipated.

“I say this also self-critically — this task is bigger than one or the other may have imagined a year ago,” Merz said in a speech in the northern German town of Osnabrueck on Saturday. “We’re not just in a period of economic weakness, we are in a structural crisis of our economy.”

Europe’s industrial powerhouse and biggest exporter is struggling with persistently high energy costs in the wake of Russia’s invasion of Ukraine and the turmoil of ...