Tuesday 12 November 2019

Greater economic growth is likely ahead for Germany

Germany has the largest national economy in Europe and is the 4th largest by nominal GDP in the world. According to the IMF, in 2017 Germany accounted for 28% of the euro area economy. Germany is a founding member of the European Union and the Eurozone.

The top 10 exports of Germany are: vehicles, machinery, chemical goods, electronic products, electrical equipment, pharmaceuticals, transport equipment, basic metals, food products, and rubber and plastics.

The economy of Germany is the largest manufacturing economy in Europe. It is less likely to be affected by the financial downturn.

Germany’s economy has been through some downturns recently. But, many investors think the worst of it is over.

The ZEW Indicator of Economic Sentiment is a simple sentiment indicator created out of the monthly ZEW Financial Market Survey. The ZEW Financial Market Survey is an aggregation of the sentiments of approximately 350 economists and analysts on the economic future of Germany in the medium-term.

The ZEW sentiment index rose this month. This indicates that the sadness surrounding growth prospects has eased a bit after the gauge plunged to a near 8-year low over the summer.

The European Central Bank eased monetary policy in September to support the euro zone. It is also urging governments to step up fiscal spending to revive growth.

Germany's government believes right now the country is in a stable economic situation.

1 comment:

  1. German Finance Minister says that there is no crisis. Germany economy is strong.