Germany’s growth rate is cracking with a new estimate cutting the projected 2019 rate by 44 percent from 1.8 percent to a mere 1 percent.
Peter Altmaier, the Minister of Economic Affairs and Energy, is blaming BREXIT and global trade, specifically the row with the US.
In fact, Germany’s growth rate has been on a steady decline since 2017, while its inflation rate has been rising from a low of 0.39 percent in 2016 to a projected 1.78 percent in 2019.
With low fertility rates, a short supply of labor, and a welfare system stretched to max point propping up a 65 percent unemployment rate for refugees, Germany has failed to mediate the problem and instead blamed false factors in an attempt to conceal and censor the facts.
It becomes apparent that the failed Iran Nuclear Deal is now even more vital than ever to prop up an economy that is close to slithering into a recession.
As such, Germany, together with France and the UK, has created a backdoor, a means of evading the US sanctions on business dealings with Iran. The gamble is comprised of a clearing house system wherein money flows through a third party instrument labeled INSTEX. Testing the efficacy of this channel through trade of nonsanctionable goods, Germany is waiting to see how Trump and his administration will react and whether fines and additional trade wars will erupt further.
Instead of negotiating with the US, Merkel is now putting Germany in the crossroads wherein weakened alliances could create a plummeting downward economic spiral that would not only take out Germany but the EU as a globalist power.
Gross domestic product (GDP) in Europe’s biggest economy fell 0.2 percent in the third quarter from the previous three months, according to data released on Wednesday by the Federal Statistics Office.
Although the economy ministry said the slowdown was only temporary due to short-term sales issues in the auto industry, some economists believe the German economy has peaked, amid several global uncertainties including a US-China trade war.
Welt am Sonntag said Altmaier now wants to get support from Finance Minister Olaf Scholz, whose left-leaning Social Democratic Party (SPD) has been resisting corporate tax cuts.
James E Windsor, Overpasses News Desk
February 5th, 2019