MNI reporting a short while ago
- The German central bank substantially cut its growth forecasts for Germany in its semi-annual report as a result of slowing economic activity in the second half of the year. GDP growth was revised down to 1.4% in 2014, 1.0% in 2015 and 1.6% in 2016, the Bundesbank announced today.
- In its previous report, published June, the central bank estimated the Germany would grow by 1.9% this year, 2.0% next year and 1.8% in 2016.
- The Bundesbank said in the press release. “Following a brisk start to the year, which was due in part to the very mild winter, the German economy subsequently lost momentum to a surprising extent”
- Low oil price could boost growth by up to 0.2%
- German HICP seen 0.9% in 2014, 1.1% in 2015, 1.8% in 2016
- Core inflation at 2.0% by end of 2016
