Fate of German Economy Depends on Trade Uncertainties

Although the German economy moved out of stagnation and managed to grow at 0.7% in Q1 2019, its economic growth is only sustainable if trade-related uncertainty abates from the markets. German GDP had posted a 0.4% increase in Q1 2019, as data released earlier today showed.

However, the Economic Ministry cautions that the German economy is not yet in the clear and continues to remain in a weak phase. To come out of this phase, external factors, especially because of trade conflicts, need to be resolved.

The monthly report released earlier today by the Economic Ministry also expects exports and industrial production to remain subdued in the near future.