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Euro brings risks to German economy
Friday, 10th August 2012 08.27am

The German economy is expected to have grown moderately in the second quarter but it faces "significant risks" linked to the euro zone crisis, the economy ministry said today.

"After the strong growth of the first quarter, the momentum has weakened noticeably because of a slowing international environment," the ministry said in a statement, before the publication of second quarter gross domestic product (GDP) data next Tuesday.

"Above all, the debt crisis in certain euro zone countries is weighing on the economy, sowing uncertainty and caution among companies," the ministry added.

"The outlook for the German economy is therefore cautious and carries significant risks." ( C) Reuters

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