BERLIN (Reuters) – The German economy contracted slightly in the third quarter, according to a first official estimate released on Monday, as the euro zone’s largest economy continues to suffer from falling domestic demand and lower interest rates. high interest.
Gross domestic product (GDP) fell by 0.1% in adjusted terms, according to the Federal Statistical Office, while economists polled by Reuters had forecast a more pronounced decline of 0.3%.
The Office revised upwards the GDP figure for the second quarter, with growth of 0.1% against previously announced stagnation.
Likewise, data for the first quarter was revised to show stagnation in GDP, compared to an initially announced contraction which had plunged the economy into recession.
A recession is defined by two consecutive quarters of decline in economic activity.
In the third quarter, domestic consumption fell under the influence of high inflation which eroded household purchasing power.
In October, inflation in Germany is expected to slow due to base effects on food and energy prices. Preliminary national level data will be released this Monday at 12:00 GMT.
In the state of North Rhine-Westphalia, the most populous in Germany, inflation slowed to 3.1% year-on-year compared to 4.2% in September.
(Written by Maria Martinez, Blandine Hénault for the )
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