The German government on Wednesday trimmed its economic growth forecast for this year to 1.7 percent amid concerns over weakening growth abroad and global political tensions.
The figure given by the Economy Ministry was only slightly below the 1.8 percent growth it forecast in October. According to preliminary figures released this month, Europe’s biggest economy expanded by 1.7 percent last year.
The ministry predicted that the unemployment rate will average 6.4 percent this year, the same as in 2015.
Earlier Wednesday, a separate survey showed that German consumer confidence remains stable despite concerns about the massive influx of migrants and recent terrorist attacks in Paris.
The GfK research group said its forward-looking consumer climate index for February was unchanged at 9.4 points. It said consumers’ willingness to buy and economic expectations rose slightly, while their income expectations dropped.