German Companies Expect COVID-19 Restrictions Will Impact Public Life For Several Months, Survey Says

German companies believe restrictions on public life due to COVID-19 will last for over 8 months on average, a survey by the Munich-based Ifo economic institute indicated Monday. Currently, social distancing rules and hygiene measures apply throughout the country, with individuals being required to wear a mask in shops and on public transport.

The survey asked businesses from a variety of sectors about how long they believe restrictions will last. Companies in the leisure sector have the most negative outlook, predicting the measures will remain in place for another 13 months, while firms involved in the arts, cultural and gastronomy sector forecast the restrictions will end in 11 months.

Companies in the service sector expect the measures will remain in place for another 8.9 months, while firms in the trade industry say the restrictions will last for another 8.6 months. Construction companies predict restrictions will be implemented for 8.2 months, while manufacturing-related businesses say the policies will end in 7.8 months.

Germany has recently seen an uptick in COVID-19 cases. Germany’s public health body, the Robert Koch Institute, recorded as much as 1,045 new infections in a single day last week, the first time the country passed 1,000 new daily cases since May.

The German government has implemented new policies to curb infections, ordering travelers from “high-risk” countries to be tested on arrival in German territory. Germany has also requested that its citizens avoid the Spanish regions of Catalonia, Navarre and Aragon due to the high number of infections in those places.

The virus has caused Germany's GDP to fall 10.1% in the second quarter, its worst drop since the 1970’s. German GDP shrank by 2.2% in the first quarter of the year during the early stages of the pandemic.