Berlin - XINHUA
German economic growth slowed further in the third quarter to 0.2 percent from the previous quarter, as the eurozone debt crisis increasingly weighs on the largest European economy, official data showed on Thursday.
The growth of gross domestic product (GDP) was 0.5 percent in the first quarter and 0.3 percent in the second one.
Year on year, the German economy grew 0.9 percent in the third quarter when adjusted for working days, the Wiesbaden-based Federal Statistical Office (Destatis) said.
The office said the growth was attributed to foreign export, consumption by both private households and government, as well as growth in the construction sector.
Germany has weathered the eurozone debt crisis safe and sound so far, but the impact of the crisis is increasingly felt in the powerhouse of the European economy, as recent data has shown declining investor confidence and falling exports.
The German central bank warned on Wednesday that the European sovereign debt crisis remained the greatest threat to financial stability in Germany as a substantial worsening of the situation would have a significant adverse impact on its banks and insurers.
The German government has slashed its forecast for 2013 economic growth from 1.6 percent to 1 percent, after a predicted 0.8-percent growth in 2012. The forecasts indicate a major slowdown on the back of a 4.2-percent growth in 2010 and 3 percent in 2011.