Germany hits record poverty since reunification

More than 12 million Germans are classified as poor, according to a study by the German Welfare Association, a record high since the creation of the Federal Republic in 1990. Technically speaking, this means that the gap between the rich and the poor in the country has widened significantly.

Germany is the largest and fastest growing economy in Europe, and most of its national income comes from industrial exports, including automobiles, machine tools and tools, and metallurgical products. But the economic boom has not yet translated into the welfare of all citizens.

Germany is considered to be the leading economic and financial policy maker of the 28 members of the European Union. The country bears the brunt of the economic downturn in the euro area that began in 2008 and takes weak European economies under its wing.

The Social Security Association, known in Germany as Der Paritätische, said government policies have led to "deep regional fragmentation," where the gap between wealthy areas in the south and poor areas in the north continues to widen.

The criteria used to study welfare are based on an individual's income, which is less than 60 percent of the average. Pensioners, who make up a significant portion of the population of German society, have experienced the fastest rise in poverty since 2006, according to a study.

“Poverty in Germany has never been as high and as deeply regionally fragmented as it is today,” said Ulrich Schneider, head of Der Paritätische. He also noted that the relationship between the rise in poverty in Germany and its economic development shows a "complete gap."