Germany's economy ministry on Wednesday said the largest euro area economy will see a "moderate" growth in the fourth quarter.
The ministry noted that the main driving force is domestic demand, while external environment remains weak. The manufacturing sector was weak at the start of the fourth quarter, it said.
The labor market, however, continues to develop favorably as employment increases.
The economy expanded at a slower pace of 0.3 percent in the third quarter.
The Bundesbank last week lifted its growth projections for Germany citing economic momentum supported by private consumption. The central bank now expects the gross domestic product to grow 0.5 percent this year, up from the 0.3 percent growth predicted in June.
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June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.