German economic growth remained at a high level in Q3 2017

October 24, 2017 12:28 pmComments Off on German economic growth remained at a high level in Q3 2017Views: 92

German economic growthGerman economic growth remained at a high level in Q3 2017, boosted by industrial procurement, which overshadowed the weakening activity in construction and private consumption.

“The industry, backed by rising demand for export goods, is likely to keep its role as a major pillar of the strong economy”, says the monthly report of the German central bank Bundesbank. “The situation with the orders of the industrial companies is excellent”, added the central bank.

The largest European economy, which boasts with the lowest unemployment rate, contributes to the improvement of economic attitudes in the entire monetary union and gives the European Central Bank (ECB) the biggest reason to unleash its unprecedented incentives.

“Car production has already gone through the difficult period in the third quarter, and orders, especially from non-euro area countries, were excellent”, says also the report.

Experts from the Bundesbank point out that, on the other hand, construction probably did not contribute overall to growth, maintaining a relatively high level of output. The poor retail sales suggest that consumption has become more moderate.

Against the backdrop of very good consumer attitudes and a favorable labor market and income prospects, there is no expected deterioration in consumption.

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