Germany's Bundesbank is revising down its domestic growth forecast for 2002 to 0.5 per cent, magazine Der Speigelreports today.
The magazine said the central bank expected Germany's economy to grow roughly two per cent in 2003.
The German government has said it expects 0.75 per cent growth this year and 2.5 per cent growth next year.
Last week's high jobless numbers and poor sales and orders figures painted a dismal picture of the German economy just two weeks before national elections.