Germany\u2019s sudden second-quarter economic contraction was probably due to Russian sanctions and confidence eroded by the crisis in Ukraine, Reuters news agency quoted the finance ministry as saying on Friday.<\/p>\n
The ministry\u2019s monthly report obtained by Reuters shows that Europe’s largest economy shrank by 0.2% between April and June after growing 0.7% in the first quarter thanks largely to an unusually mild winter that gave a boost to construction activity at the start of the year.<\/p>\n
\u201cThe decline in gross domestic product (GDP) goes beyond the expected counter-effect to the very strong weather-related performance in the previous quarter,\u201d the finance ministry said in its report, attributing this \u201cto the effect of sanctions and negative effects on confidence due to the Ukraine crisis\u201d.<\/p>\n
Uncertainty over Ukraine was likely to have resulted in the dampening of industrial activity in the second quarter, it said, adding that \u201cother geopolitical tensions\u201d and \u201cweaker economic development in the euro zone\u201d had also contributed to the contraction.<\/p>\n
\u201cIf the Ukraine crisis does not escalate further and no further serious stages of sanctions are imposed, it is to be expected that the current economic slowdown is only temporary,\u201d the finance ministry said, noting that if this was the case, investment was likely to pick up as the year progressed.<\/p>\n","protected":false},"excerpt":{"rendered":"
Germany\u2019s sudden second-quarter economic contraction was probably due to Russian sanctions and confidence eroded by the crisis in Ukraine, Reuters news agency quoted the finance ministry as saying on Friday. The ministry\u2019s monthly report obtained by Reuters shows that Europe’s largest economy shrank by 0.2% between April and June after growing 0.7% in the first … Continue reading “German economy shrinks as result of Russian sanctions”<\/span><\/a><\/p>\n","protected":false},"author":2961,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[49,3],"tags":[70,51,2376,66,1061],"class_list":["post-15355","post","type-post","status-publish","format-standard","hentry","category-europe","category-news","tag-eu","tag-germany","tag-nato","tag-russia","tag-sanctions"],"cc_featured_image_caption":{"caption_text":false,"source_text":false,"source_url":false},"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/praag.org\/index.php?rest_route=\/wp\/v2\/posts\/15355","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/praag.org\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/praag.org\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/praag.org\/index.php?rest_route=\/wp\/v2\/users\/2961"}],"replies":[{"embeddable":true,"href":"https:\/\/praag.org\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=15355"}],"version-history":[{"count":2,"href":"https:\/\/praag.org\/index.php?rest_route=\/wp\/v2\/posts\/15355\/revisions"}],"predecessor-version":[{"id":15358,"href":"https:\/\/praag.org\/index.php?rest_route=\/wp\/v2\/posts\/15355\/revisions\/15358"}],"wp:attachment":[{"href":"https:\/\/praag.org\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=15355"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/praag.org\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=15355"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/praag.org\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=15355"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}