German economy set to overtake Japan as the world's 3rd-largest in 2023

Posted on October 30, 2023   |  

In 2023, Germany is expected to surpass Japan and become the world's 3rd-largest economy. 

This shift is partially driven by the yen's decrease in value against the dollar and euro.

According to the latest IMF projections, Germany's economic output for the year is estimated at $4.4 trillion, while Japan's stands at $4.2 trillion. 

This would position Germany just behind the US and China in terms of economic size.

The yen's value is approaching 160 against the euro and remains not far from the 33-year low against the dollar, which prompted currency intervention in October of the previous year.