Germany expects slower growth in Q3
BERLIN: A slowdown in the German economy during the third quarter was expected after strong growth in the first six months of the year, the finance ministry said yesterday, adding that private consumption and state spending were the main drivers.
The German economy grew by 0.2% for the quarter after it expanded 0.4% in the three months to June as exports weakened.
The ministry said in its monthly report that the labour market remained solid and job creation was positive in the autumn.
“Job creation was maintained albeit at a somewhat weaker pace than in the first two quarters,” the ministry said. “Unemployment fell further.” The government last month raised its 2016 growth forecast to 1.8% from 1.7% previously, which would be the strongest expansion rate in half a decade. – Reuters