Daily Management Review

Deutsche Bank’s head warns of recession


Christian Sewing, the CEO of Deutsche Bank, cautioned that China posed a severe danger to Germany and that Europe needs big banks to compete with U.S. lenders.

Lucas Kaufmann
Lucas Kaufmann
Germany "can no longer avoid recession," according to the chief executive of the major German bank, because of its excessive reliance on Russian energy supply.

Russia has stopped supplying gas to Germany, escalating the economic stalemate between Moscow and Europe and increasing the likelihood of a recession and energy rationing in some of the richest nations in the region.

Europe has learned the risks of being "too dependent on certain countries or areas," according to Sewing, who was speaking at a banking conference in Frankfurt.

He also mentioned that, in light of China's "rising isolation and increasing friction," Germany will now need to respond to the "uncomfortable question" of continued collaboration.

No less fundamental shift will be needed to reduce this dependence than to stop using Russian energy, according to Sewing.

source: dw.de