Share article:

    Bundesbank warns of recession risk for Germany

    The German economy could enter recession in the third quarter as a result of a "sharp contraction" in industrial production,. Credit: Belga

    The German economy could enter recession in the third quarter as a result of a “sharp contraction” in industrial production, held back by international trade tensions, the Central Bank warned on Monday in its monthly report.

    “The economy could contract again” this summer after a 0.1% decline in German GDP in the second quarter, notes the Bundesbank, while alarmist signals are reviving in Berlin the political debate on the need for the German government to move away from its dogma of balanced budgets and thus provide itself with the means for a possible recovery.

    The Brussels Times
    Source: Belga