BERLIN/FRANKFURT (Reuters) – The German economy probably stagnated in the second quarter in the face of political tensions abroad, the Bundesbank said on Monday, but chances are its recovery will not be held up for long by conflicts on the rim of Europe.
Highlighting the underlying strength of Europe’s largest economy, the International Monetary Fund raised its forecasts for German growth, projecting an expansion of 1.9 percent this year – up from the 1.7 percent it had previously projected.
BERLIN/FRANKFURT, July 21 (Reuters) – The German economy
probably stagnated in the second quarter in the face of
political tensions abroad, the Bundesbank said on Monday, but
chances are its recovery will not be held up for long by
conflicts on the rim of Europe.
Highlighting the underlying strength of Europe’s largest
economy, the International Monetary Fund raised its forecasts
for German growth, projecting an expansion of 1.9 percent this
year – up from the 1.7 percent it had previously projected.
BERLIN (Reuters) – Germany’s Angela Merkel challenged Moscow’s attempt to pin the downing of a Malaysian airliner on Ukraine, pointing to Russia as a source of separatists’ weapons.
But she said it was too soon to talk about retaliatory measures.
The chancellor said there was evidence that the Malaysian Airlines (MASM.KL: Quote, Profile, Research) Boeing 777, which crashed into a field in Ukraine killing all 298 people on board, had been shot down.
BERLIN (Reuters) – Moscow must take responsibility for advancing a peace process in Ukraine, where a truce is needed to allow an investigation into the crash of an airliner close to the Russian border, German Chancellor Angela Merkel said on Friday.
For the West, there was no alternative to seeking dialogue with Putin over Ukraine, Merkel told a news conference in Berlin, adding that it was too soon to make any decisions about imposing tougher sanctions against Russia. There are many indications that the Malaysian Airlines Boeing 777 plane was shot down, and the perpetrators must be bought to justice and an independent investigation started as quickly as possible, she said.
BERLIN, July 17 (Reuters) – German industry expressed
concern on Thursday that business with Russia will suffer
further after the European Union stepped up sanctions on Moscow
for not doing enough to ease the crisis in Ukraine.
Jens Nagel of Germany’s BGA trade association said Brussels
and Washington had no choice but to toughen sanctions on Russia
even though it would hurt firms, but added that he was worried
the process would keep “spiralling” upwards.
BERLIN, July 8 (Reuters) – Creditors and owners of failing
German banks will face losses from as early as 2015, a year
before European rules envisaged for the bloc as a whole, the
draft of a law seen by Reuters showed on Tuesday.
The law is part of a package to be presented to Chancellor
Angela Merkel’s cabinet on Wednesday. Germany needs to pass the
laws to implement Europe’s banking union plans.
BERLIN, July 8 (Reuters) – German exports and imports
dropped much more than expected in May, data showed on Tuesday,
coming on the heels of other soft indicators that have signalled
Europe’s largest economy is losing momentum.
Exports – the traditional backbone of Germany’s economy -
struggled last year and fell in three of the first five months
this year, weighing on overall growth and making the economy
reliant on imports. They, however, slumped in May.
BERLIN (Reuters) – German annual inflation rose in June, potentially pushing up the overall euro zone rate and relieving pressure on the European Central Bank to act again to avert the threat of deflation.
Preliminary data from the Federal Statistics Office on Friday showed annual inflation in Germany harmonised to compare with other European Union countries rose to 1.0 percent from 0.5 percent in May. On the month, consumer prices were 0.4 percent higher on the same basis, after dropping 0.3 percent in May.
BERLIN, June 27 (Reuters) – Germany’s Bundestag lower house
of parliament on Friday passed a law to reform the system of
renewable energy subsidies, clearing the first hurdle for a plan
that could still be stopped by the European Union following a
conflict over its legality.
The law – part of Germany’s efforts to wean itself off
nuclear power – still needs approval from the upper house and
the European Commission, which is concerned exemptions from a
surcharge on green power may infringe EU state aid laws.
BERLIN, June 24 (Reuters) – German business sentiment
weakened more than expected in June as concern grew among
companies in Europe’s largest economy that tensions in Ukraine
and Iraq would hurt their business.
The Munich-based Ifo think tank’s business climate index
dropped to 109.7 from an unrevised 110.4 in May, marking its
second consecutive monthly fall.