Germany economy survives from recession in third quarter

14 Nov 2019 12:39 PM


Preliminary data showed on Thursday that the German economy survived a recession in the third quarter as strong consumer spending helped output grow by 0.1% on a quarterly basis, defying deflationary expectations.

Throughout the year, GDP in Europe's largest economy rose 0.5% from July to September after a 0.3% expansion from April to June, seasonally adjusted figures from the Federal Statistical Office showed.

The Office for Statistics said private household spending was higher than in the second quarter and the state increased spending, adding that construction also supported growth.

"We don't have a technical recession but the growth figures are still very weak," Economy Minister Peter Altmayer told state television.

While exports rose, imports remained at the previous quarter level, the office noted, suggesting net trade had a positive impact on the economy.

The statistical office lowered the quarterly GDP rate to a 0.2% contraction on a quarterly basis from a previous 0.1% decline.

Tags: