The German economy has grown by 0.6 percent in the fourth quarter of 2017, with foreign demand being identified as key driver.
According to the latest figures provided by German statistical office Destatis, German GDP grew 2.2 percent over the last year, while the number of people in employment increased again to 1.5 percent compared to the previous year.
Based on it’s quarterly figures, Destatis highlights that foreign demand continues to be the key driver of German GDP growth. While government expenditure increased gradually, providing an additional boost to the figures, household consumption remained stagnant.
Christian Lips, analyst at Nord / LB comments on the figures: The signals for the coming quarters are very positive, we anticipate a continuation in the uptake of industrial production and consumption could increasingly contribute to stronger figures, as the labour market figures are very positive and consumer confidence has reached record levels.”
“We predict that GDP will continue to grow by 2.6% throughout the year, although we have to factor in that margins will become gradually tighter” he adds.