German economy stalled in fourth quarter, narrowly avoiding recession
Economy flat following contraction in the third quarter, the first since 2015
The German economy stalled in the final quarter of last year, escaping recession by the narrowest of margins after contracting in the July-September period for the first time since 2015.
Gross domestic product (GDP) in Europe’s biggest economy grew by 0.0 per cent quarter-on-quarter, the Federal Statistics Office said on Thursday. That compared with a Reuters forecast for growth of 0.1 per cent.
German companies are grappling with a cooling global economy and trade disputes triggered by US President Donald Trump’s ‘America First’ policies. The risk that Britain leaves the European Union without a deal in March is another uncertainty.
Compared with the same quarter of the previous year, the economy grew by 0.6 percent from October to December, calendar-adjusted data showed. Analysts polled by Reuters had expected 0.7 per cent. – Reuters