The German government is set to halve its 2019 growth forecast for Europe’s biggest economy, a government source told Reuters on Friday, reflecting a worsening slowdown linked to a recession in the manufacturing sector.
US Vice President Mike Pence has blasted as “unacceptable” Germany’s dependence on Russian energy and its failure to meet its military spending commitments as a key member of the NATO military alliance.
Germany could face shortages of medical products by mid-April if Britain makes a chaotic withdrawal from the European Union, German business daily Handelsblatt said on Thursday, citing a letter by Health Minister Jens Spahn to the EU Commission.
Germany said on Wednesday it would extend until the end of March a unilateral halt on arms shipments to Saudi Arabia imposed due to concerns about its role in Yemen’s war and the killing of a journalist, stretching the embargo beyond a March 9 deadline.
Germany’s current account surplus shrank but remained by far the world’s largest last year due to strong exports, according to data from the Ifo institute on Tuesday that is likely to renew criticism of Chancellor Angela Merkel’s fiscal policies.
The German economy may only grow by 0.7 percent this year if exports to Britain drop by 10 percent and if there is additional turbulence on capital markets, it may only expand by around 0.5 percent, the DIHK Chambers of Industry and Commerce said.