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EUR 130 bn stimulus to support growth after COVID-19 shock

June 4, 2020
Region:
The coalition committee agreed on a so-called “Fiscal Stimulus and Crisis Management Programme”. The overarching goal of the programme is to boost the economy, secure employment, unleash Germany’s economic potential, mitigate the adverse economic and social consequences due to the crisis, strengthen the federal states and municipalities and, finally, give financial support to families. The promised rise in “future investment” is per se a good thing to boost the economy. Still, timely implementation could be an issue. Hence, these additional investments will help raising Germany’s growth potential but are unlikely to have any meaningful effects on economic growth in the short run. [more]

More documents contained in "Focus Germany"

89 (61-72)
March 30, 2015
Region:
63
The combination of the structural global trade slowdown, increased localization of production, demographic changes in Germany, the impact of recent economic policy decisions and further toughening of international competition are likely to be a considerable challenge for German exporters over the medium term. [more]
March 2, 2015
Region:
64
The Q4 GDP details corroborate that the German economy ended 2014 on a high note (+0.7% qoq vs +0.1% in Q3) as private consumption received a substantial stimulus from the drop of the oil prices. We increase our 2015 GDP forecast to 2.0% from 1. [more]
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