German institutes cut 2019 growth forecast to 0.8 percent: source

FILE PHOTO: Aerial view of containers at a loading terminal in the port of Hamburg
FILE PHOTO: Aerial view of containers at a loading terminal in the port of Hamburg, Germany August 1, 2018. REUTERS/Fabian Bimmer/File Photo

April 3, 2019

BERLIN (Reuters) – Germany’s leading economic institutes have revised down their growth forecast for Europe’s biggest economy to 0.8 percent from a previous estimate of 1.9 percent, a source familiar with their report to be presented on Thursday told Reuters.

The sharp revision reflects the scale of the slowdown in Germany, whose economy is facing headwinds from a slowing world economy, international trade disputes and the threat of Britain leaving the European Union without a deal.

The institutes’ estimates feed into the government’s own growth projections which will be updated later this month. The government said in January it forecast growth of 1.0 percent this year.

(Reporting by Holger Hansen; Writing by Joseph Nasr; Editing by Michael Nienaber)

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