German economy accelerated in 2016 thanks to higher spending
BERLIN — Germany’s economy accelerated slightly last year to grow by 1.9 per cent, narrowly beating expectations thanks largely to household and government spending, official data showed Thursday.
The figure released by the Federal Statistical Office was slightly better than Germany’s performance in the previous two years, and also a bit above the 1.8 per cent growth that the government and economists had forecast. Gross domestic product increased by 1.7 per cent in 2015 and 1.6 per cent in 2014.
The statistical office offered a rough estimate that the economy grew by about half a per cent in the fourth quarter compared with the previous three-month period. However, an official fourth-quarter figure won’t be released until next month, and statisticians warned that the estimate should be treated with caution.
Domestic spending once again powered the economy, which is traditionally export-heavy, to stronger growth.