powerful growth in germany fuels calls to share the wealth
Last Updated : GMT 09:40:38
Themuslimchronicle, themuslimchronicle
Themuslimchronicle, themuslimchronicle
Last Updated : GMT 09:40:38
Themuslimchronicle, themuslimchronicle

Although Observers Warn The Good Times

Powerful growth in Germany fuels calls to share the wealth

Themuslimchronicle, themuslimchronicle

Themuslimchronicle, themuslimchroniclePowerful growth in Germany fuels calls to share the wealth

Germany clocked up its strongest growth in six years in 2017.
Berlin - Muslimchronicle

 Strong growth data in Germany came as welcome news Thursday for politicians haggling over spending and unions battling for more pay, although observers warn the good times can't last forever.

Gross domestic product in Europe's top economy grew by 2.2 percent in 2017, the fastest rate since 2011, according to federal statistics authority Destatis.

The performance, in line with forecasts from leading economic think-tanks and the OECD, was driven by a sharp pick-up in growth in investments and exports.

At the same time, expansion in private and government consumption slowed compared with 2016.

Overall, growth was almost one percentage point higher than the 1.3-percent average recorded over the past 10 years.

Germany also notched up a record government budget surplus of 1.2 percent of GDP, Destatis said.

It was "a strong performance by an economy firing on all cylinders," commented ING Diba bank economist Carsten Brzeski, arguing that the same factors that have favoured the economy will stay in place over the coming year.

Defying fears of a new era of protectionism after the US election of Donald Trump, exports grew by 4.7 percent in 2017, compared with 2.6 percent the previous year.

Meanwhile, historic low interest rates set by the European Central Bank, a euro that has not strengthened against other currencies in step with the continent's economic recovery, high levels of employment and a broad-based upturn across the 19-nation eurozone all favour continued expansion for Germany.

But the picture is not entirely rosy for Berlin, Brzeski warned.

"Strong growth performance has led to reform complacency. Under the surface of strong growth, deficiencies in areas like digitalisation, services and education have emerged," he said.

"The next government still has the unique opportunity to tackle these challenges in good times and not wait until the bad times have started."

- How to spend it -

As the statisticians unveiled the nation's economic performance in Berlin's government quarter, Germany's leading politicians gathered in the Social Democratic Party (SPD) headquarters across town.

Chancellor Angela Merkel's conservatives are making a last-ditch attempt to strike a coalition deal with the centre-left SPD -- a prospect greeted with reluctance on both sides after four years sharing power cost both parties dearly in September elections.

Nevertheless, politicians' mouths are watering at the prospect of having billions of euros of additional cash to pay for tax cuts, public spending or increased investment.

Over four days of talks since Sunday, the negotiators have racked up a wishlist totalling some 100 billion euros ($119.5 billion) for the coming four years, newspaper Rheinische Post reported Wednesday.

But many of those hopes could be dashed Thursday, as the finance ministry calculates that just 45 billion euros will be available in federal coffers.

It would be a "tough day" of talks, Merkel told reporters as she arrived, vowing to "work constructively to find the necessary compromises".

Not to be left out, the powerful metalworkers' union IG Metall has taken to the streets with a series of "warning strikes" this week, demanding bosses grant them a six-percent pay rise and the option to switch to a 28-hour week for up to two years.

There has been little sign of movement from employers so far, who have labelled the workers' demands illegal and threatened to sue to prevent further industrial action.

Employee representatives and company leaders will return to the negotiating table Thursday afternoon, with longer, more devastating strikes on the cards if talks go badly.

Source: AFP

themuslimchronicle
themuslimchronicle

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

powerful growth in germany fuels calls to share the wealth powerful growth in germany fuels calls to share the wealth

 



Themuslimchronicle, themuslimchronicle

GMT 06:40 2017 Saturday ,16 December

Walker needs brains not just brawn

GMT 08:15 2017 Thursday ,07 September

US oil giant ExxonMobil plans Cyprus gas exploration

GMT 18:11 2011 Monday ,18 April

Zimbabwe and Zambia in tug of war over Vic Falls

GMT 16:05 2017 Tuesday ,31 October

Qadih calls for involving private sector

GMT 09:20 2017 Wednesday ,15 November

Qualcomm spurns $130 bn Broadcom bid for big tech tie-up

GMT 13:43 2017 Tuesday ,24 October

Stabbed Russian journalist 'in recovery'

GMT 10:26 2017 Friday ,14 April

Sock topples Haas to reach ATP Houston quarters

GMT 14:00 2017 Saturday ,25 November

Sudan condemns terrorist attack in Egypt

GMT 09:40 2017 Monday ,04 December

Stade down Racing, Clermont edge plucky Agen

GMT 08:08 2017 Thursday ,05 October

Injury jinx strikes again as Iordache exits

GMT 11:20 2017 Tuesday ,05 December

Prodigal son: Saleh Saudi overture tips Yemen balance

GMT 09:35 2013 Saturday ,31 August

Afghan suicide attack kills 6, hurts 20 in south

GMT 23:36 2016 Sunday ,11 December

Suicide attack in Istanbul claims 29 lives

GMT 18:29 2013 Sunday ,10 November

Samsung\'s Galaxy Note 3 top 5m

GMT 14:52 2013 Sunday ,24 November

Computer game opponents begin to think, feel alike

GMT 18:55 2012 Wednesday ,02 May

8 Secret guy insecurities

GMT 19:27 2012 Thursday ,10 May

How to win over your boss

GMT 18:27 2012 Sunday ,29 April

Why I\'m better off without a baby

GMT 13:40 2012 Friday ,25 May

Sharnoubi to make documentary on singer Warda

GMT 12:58 2014 Friday ,28 November

Incredibly small apartment in Paris

GMT 00:44 2011 Sunday ,25 December

Modern glass house

GMT 10:51 2011 Tuesday ,05 July

Dior loses its way without creative director
Themuslimchronicle, themuslimchronicle
Themuslimchronicle, themuslimchronicle
 
 Themuslimchronicle Facebook,themuslimchronicle facebook  Themuslimchronicle Twitter,themuslimchronicle twitter Themuslimchronicle Rss,themuslimchronicle rss  Themuslimchronicle Youtube,themuslimchronicle youtube  Themuslimchronicle Youtube,themuslimchronicle youtube

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2023 ©

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2023 ©

muslimchronicle muslimchronicle muslimchronicle muslimchronicle
themuslimchronicle themuslimchronicle themuslimchronicle
themuslimchronicle
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
themuslimchronicle, themuslimchronicle, themuslimchronicle