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Germany Economic Outlook, Q4 2009

By Katharina Jungen

Executive Summary

  • Despite the pronounced uptick in growth in H2 2009, the German economic recovery will prove anemic with below-trend growth beyond 2010;
  • Unemployment will pick up significantly in fall 2009 suppressing consumption;
  • Rising loan losses are further threatening the already weak, reform-needy banking sector.


A surprise…

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