Berlin recognizes a cooling of the economy in the second quarter

The German government acknowledged today, without providing specific figures, the national economy has slowed in the second quarter, mainly due to external factors like weak recovery in the euro area and the crisis in Ukraine.

This follows from the monthly report of the German Ministry of Economy released today, two days before the Federal Statistical Office (Destatis) published growth rate of gross domestic product (GDP) in Europe’s largest economy in the second quarter.

“After a strong first quarter, the second quarter has seen a weakening. Beside the weak performance of the euro area, also affects the uncertainty arising from geopolitical events,” says the document.

The report abounds in the effect of a mild winter, which led to a growth of 0.8% between January and March, above the estimate, and the growing burden of external factors, which do not support the good situation of the domestic economy German.

The Italian economy has gone into recession, France remains stagnant and the economic sanctions of the European Union (EU) against Russia for his performance in the Ukrainian conflict German- which affect the industry are one of the counted items.

In this sense, the president of the German employers, Ingo Kramer, who said that “sometimes, as this year,” an economy that is doing well in general terms “can be affected by external factors” are also said today in a press conference .

According to Kramer, German GDP will grow this year “around 2%”, as unanimously predict tanks and the German Government, but was pessimistic about the future performance of Europe’s biggest economy .

“The elements that affect the German economy are long term. What is clear is that the outlook has deteriorated,” Kramer said.

The Ministry of Economy however stressed that the “positive trend” base “remains intact”, that the labor market remains “stable” revenue “up” and the trend of consumption “remains high”.