Germany's economy had passed the worst of the crisis caused by the coronavirus outbreak and was now expected to recover gradually, Bundesbank President Jens Weidmann told German newspaper Frankfurter Allgemeine Sonntagszeitung.
FILE PHOTO: German Bundesbank President Jens Weidmann attends the 29th Frankfurt European Banking Congress at the Old Opera house in Frankfurt, Germany November 22, 2019. REUTERS/Ralph Orlowski
Restrictions in Germany imposed because of the pandemic are slowly being lifted, allowing economic activity to resume. In June, the ECB downgraded its forecasts for the euro zone, predicting an 8.7% economic contraction in 2020 as its baseline case and a 12.6% fall in its “severe” scenario. “It is important that the measures are targeted and temporary,” Weidmann said, calling for a return to “sound budgetary positions.”
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