Despite the rather pessimistic economic forecasts, the Finance Minister, Olaf Scholz, sees no recession in Germany. “We continue to have a proper economic development,” said the SPD-politician in rbb-info radio. All of the data would show that “we can expect very subdued growth, but an upward trend”. The risks of possible trade conflicts and the Brexit need to be aware of.
Scholz responded with his Comments on Figures of the Federal Statistical office last Friday. Accordingly, the gross domestic product from October to December, stagnated at the level of the previous quarter. In the third quarter of the year, Europe’s largest economy had shrunk by as much as 0.2 percent, and for the first time in three and a half years. As a result, it had come to the end of 2018, almost to a recession. Such is the case if the economic performance declined in two consecutive quarters. It was the last one of the year 2012/13.
this was Prevented, according to the calculations of statisticians, mainly through increasing investments, particularly in the construction industry and rising consumer spending from both the state and consumers. As a result, the gross domestic product increased in the year as a whole in 2018 by 1.4 percent. For the current year, the Federal government expects a growth of one percent.