Germany's economic expansion is set to continue, but at a slightly slower pace as the improvement on the domestic front is being offset by the subdued external environment, the Economy Ministry said Monday.
In its monthly report for April, the ministry said the economic growth gained momentum at the start of the year. Though domestic factors supporting the economic expansion have improved, the external environment remains subdued. Export prospects are also likely to remain subdued, the report said.
Employment increased significantly in the services sector, and manufacturing output has grown markedly due to production shifts and the mild winter, the report said. Demand for labor remains high and the influx of refugees are likely to cause only a moderate impact on the labor market, the ministry said.
Robust growth in employment and earnings coupled with stable prices have given a boost to household spending. Further, the continued inflow of refugees is expected to lead to a noticeable increase in public spending and give strong impulse to construction.
Companies are also inclined to invest more in plant and machinery as they are cautiously optimistic regarding the economy, the report added.
For comments and feedback contact: editorial@rttnews.com
Economic News
What parts of the world are seeing the best (and worst) economic performances lately? Click here to check out our Econ Scorecard and find out! See up-to-the-moment rankings for the best and worst performers in GDP, unemployment rate, inflation and much more.
April 24, 2026 15:15 ET Economics news flow was relatively light this week even as the conflict in the Middle East continued, raising concerns for policymakers. In the U.S., spending data, initial jobless claims and pending home sales were the highlights. Business confidence in the biggest euro area economy was in focus in Europe. Inflation data from Japan gained attention in Asia.