Germany’s economy to shrink 2.25% in 2009 - government

21 January 2009 15:30  [Source: ICIS news]

TORONTO (ICIS news)--Germany’s government expects the country’s economy to decline by 2.25% in 2009 as it was facing its biggest challenge since reunification in 1990, it said on Wednesday.

Europe’s largest economy was highly integrated into the global economy and therefore immediately exposed to the international financial crisis and the worldwide recession, the government said in an economic update.

The projected decline, which already included expected positive impulses from government stimulus and employment measures, is in line with recent forecasts by economists, but it is sharply down from the government’s earlier expectation of 0.2% growth for the year.

It compares with an overall 1.8% decline decline expected for the 27-member state European Union this year.

German chemical producers said last month they expected production to fall 1% in 2009, a forecast some commentators said may be too optimistic.

To discuss issues facing the chemical industry go to ICIS connect
Read Paul Hodges’ Chemicals and the Economy Blog

By: Stefan Baumgarten
+1 713 525 2653

AddThis Social Bookmark Button

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly

Get access to breaking chemical news as it happens.
ICIS Global Petrochemical Index (IPEX)
ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index