Weekly Export Risk Outlook, May 28

05.29.2014 ZF English

Germany’s economy accelerated its growth rate in the first quarter of 2014, writes Euler Hermes in its latest Weekly Export Risk Outlook, pointing out the larger increase in imports.

Details of the gross domestic product formation show the shift back to domestic demand-led expansion, as private consumption and public investments grew by 0.7% and 0.4%, respectively, compared to the last quarter of 2013, while exports went up just 0.2% quarter-to-quarter.

Also, the business climate survey and the consumer confidence survey both show continued expectations of positive economic developments, Euler Hermes analysts said, noting however that the Ukraine crisis poses a key downside risk to the growth forecast.

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