IMF Provides Germany with Investment Advice

The International Monetary Fund (IMF) urged Germany on Monday to invest more in infrastructure to boost its long-term growth and support the euro zone currency bloc.

In a statement detailing policy recommendations, the IMF said Germany could invest up to 0.5 percent of gross domestic product a year more over four years without violating fiscal rules and with only a small effect on the debt-to-GDP ratio.

“Such a programme would yield a persistent increase in GDP by crowding in private investment and would also stimulate growth in the rest of the euro area,” the IMF said in the statement.  The Fund also expected Germany’s recovery to gather further momentum and said it would likely raise its growth forecast for Germany soon.

CNBC

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.