Germany’s economy recovers in Q2

24.08.2021 - Davydova Maria
Germany’s economy recovers in Q2

Germany’s economy improved more than anticipated in the second quarter. The development was driven by the lifting of COVID-19 restrictions that encouraged consumers to tap into record savings accumulated during the winter shutdown and the government’s massive debt-financed stimulus program.

Gross domestic product jumped an adjusted 1.6% on the quarter after a revised 2% contraction in the first quarter. The latest figure exceeded the initial estimate of 1.5%.

Germany’s economy grew a calendar-adjusted 9.4% on the year in the second quarter. Economic activity marked 3.3% below the fourth-quarter level in 2019.

Private consumption improved 3.2% in the same period. This accounted for 1.6% points to overall growth and pushed down the savings rate to 16.3%.

Public consumption climbed 1.8%, adding 0.4% to the overall growth rate.

The government’s spending funded by new debts to mitigate the COVID-19’s impact blew a 80.9 billion euro ($95 billion) hole in the public finances in the first half of the year. This reflected a public sector deficit of 4.7% of GDP, the biggest in 26 years.

Risk disclaimer "PROMETHEUS LTD – Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall Islands MH96960 is a financial services institution outside the European Union Area, which is subject to the supervision of the IFMRRC Certificate 0395 AA V0155 Trading in Forex/ CFDs and Other Derivatives is highly speculative and carries a high level of risk. It is possible to lose all your capital. 70% of trading deals can be unprofitable. These products may not be suitable for everyone and you should ensure that you understand the risks involved. Seek independent advice if necessary. Speculate only with funds that you can afford to lose. This Website may contain information in particular regarding financial services and products that could be regarded b a E.U. supervisory authority as an offer of financial services targeted in Europe. ESMA intervention measures do not apply to customers of PROMETHEUS LTD and it is your responsibility to choose a company which is most suitable for your trading needs. By clicking continue you confirm that you have read, understood and agree to the risk disclosures, terms of service, cash policies, privacy policies and this notice and that you are visiting this website on your own initiative, without any encouragement whatsoever from umarkets.net or PROMETHEUS LTD." Cookies notification: We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we assume that you are happy with it. Read more. Continue
×

Help with deposit?