FX.co ★ German GDP 2016 growth forecast reduced by 0.2%

German economists reduced the GDP forecast for 2016. According to the new estimates, Germany GDP will grow by 1.6% instead of 1.8% as was reported earlier.
Experts think that the reduction took place due to the slowdown in the global economy which put German export under pressure. Forecast for 2017 shows the growth by 1.5% while in 2015 GDP in Germany rose by 1.7%.
According to AFP, GDP growth in 2016 will be achieved at the expense of private consumption. Number of employed people in Germany will rise by 500 thousand this year. Besides, pensions and salaries are expected to rise. The inflation will remain low.
At the same time, due to inflow of migrants, economists forecast unemployment growth from 2.7 to 2.8 million.