logo

FX.co ★ Fitch affirms Germany’s credit ratings at 'AAA'

Fitch affirms Germany’s credit ratings at 'AAA'

Fitch affirms Germany’s credit ratings at 'AAA'

Fitch Ratings affirmed Germany's Long-Term Foreign and Local Currency Issuer Default Ratings (IDRs) at 'AAA' with stable outlooks.
Fitch also affirmed the Short-Term Foreign and Local Currency IDRs at 'F1+' and Country Ceiling at 'AAA'. The ratings agency cited Germany's strong institutions and diversified economy.
Moreover, Fitch maintained its 2016 GDP growth forecast at 1.7%, followed by 1.4% in 2017 and 2018.
It is also worth noting that following the Brexit vote, Germany has witnessed a moderate weakening in confidence indicators, reflecting uncertain external environment.
Last week, the German Ministry of Finance said that Germany’s economy could slow down in the second half of 2016 as weakening foreign demand leads to slowing industrial production.
In the first half of this year, the country’s economy expanded by 0.7% on strong private consumption, increased government spending and growth in the construction sector. In the second half of the year, the German GDP growth came in at 0.4%
The ministry’s monthly report reads that Germany’s growth was stable in the first half of the year, but recent economic data reflects weakening driving forces of the economy in the second half of the year.
In July, factory orders increased slightly, while industrial output and exports declined unexpectedly. All this means the sector is weak in the third quarter.

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade
Go to the articles list Open trading account