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  By Maria Martinez
  
  LUXEMBOURG, Oct 7 (Reuters) - Germany's economic model is not broken but Europe's biggest economy has lost competitiveness over the past decade, German Finance Minister Christian Lindner said
  on Monday.
  
  "We can't be satisfied with the economic developments in Germany," he told journalists ahead
  of a Eurogroup meeting.
  
  The German economy is expected to contract by 0.2% in 2024, an economy ministry spokesperson said on Monday, cutting the forecast from
  a previous projection of 0.3% growth this year.
  
  If realised, this would be the second consecutive year of contraction for Germany's economy,
  which was the weakest among its large euro zone peers last year with a 0.3% decline in gross domestic product.
  
  
  Lindner said the government was introducing supply-side measures to
  try to return the economy to growth.
  
  "After these reforms, Germany will have more competitiveness again," Lindner said, adding that the growth initiative was just a first
  step for an economic turnaround, "but we have to build on it."
  
  AMBITION NEEDED
  
  Lindner said "ambition" was needed to keep EU public finances in order, or to
  put them back in order where necessary.
  
  "I can only encourage everyone to implement structural reforms and to make unpopular decisions," Lindner said.
  
  "What seems to be unpopular at the moment is the willingness to take responsibility for the next generation and for the stability of the European Union as a whole."
  
  Lindner said he could not comment on the French budget plans
  because he had not had the chance to talk with his French
  colleagues yet, but he would do so on Monday evening.
  
  
  "We should all realise that the credibility of public finances vis-à-vis the capital markets is not to be trifled with," Lindner said.
  
  
  
  "We must credibly reduce our deficits and our debt so that we can continue to finance ourselves well and in a stable manner."
  
  (Reporting by Maria Martinez, Editing by Miranda
  Murray and Christina Fincher)
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