A sign showing entry only for “2G,” the term in Germany for people who are either vaccinated against or have recently recovered from Covid-19.

Jens Schlueter | Getty Images

The German economy grew by 2.7% in 2021 after another year of surging Covid-19 cases, pandemic-related restrictions and supply chain pressures, preliminary data showed Friday.

It comes after the largest euro economy shrunk by 4.6% in 2020 — the first year of full lockdowns and tough social restrictions in the wake of Covid.

Upcoming economic performance remains clouded by uncertainty.

Germany’s public health agency, the Robert Koch Institute, warned on Thursday that the number of new Covid cases is increasing rapidly. The latest figures point to new daily infections of around 80,000 people.

This is a breaking news story and it is being updated.

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