Financial News: German Economy Stagnates As Estimated In Q3

German Economy Stagnates As Estimated In Q3

11/25/2025 - 02:56:00 (RTTNews)

(RTTNews) - The German economy stagnated in the third quarter as growth in investment was offset by the weakness in exports, revised data from Destatis showed on Tuesday.

The statistical office Destatis confirmed that gross domestic product remained unchanged on a quarterly basis, following a decline of 0.2 percent in the second quarter.

"Economic activity was hampered in the third quarter by weak exports, while investments increased slightly," Federal Statistical Office President Ruth Brand said.

The expenditure-side of GDP showed that gross fixed capital formation increased 0.3 percent, following the decline in the previous quarter. Investment in equipment, primarily machinery, tools and vehicles grew 1.1 percent from a quarter ago. On the other hand, construction investment fell 0.5 percent.

Overall consumption remained flat in the third quarter. Private consumption declined 0.3 percent, which was the first fall since the fourth quarter of 2023 as households spent less on restaurants and accommodation services. By contrast, government spending advanced 0.8 percent from a quarter ago.

Foreign trade provided no positive impetus to the growth. Exports of goods and services were down 0.7 percent, while imports remained flat from the previous quarter.

The economy will remain stuck until fiscal stimulus begins to take effect, ING economist Carsten Brzeski said.

"With the German parliament expected to approve the 2026 budget this week, this year's public underinvestment combined with next year's full-scale fiscal stimulus should be enough to get a new spelling of the word stagnation next year," the economist added.

For comments and feedback: contact editorial@rttnews.com

Market News provided by RTTNews

RECENT INTERNATIONAL FINANCIAL NEWS

China Inflation Accelerates In November (02 hr(s), 31 min(s), 17 sec(s) ago)
(RTTNews) - China's consumer price inflation accelerated in November and factory gate prices c ...Full Story»

Japan Producer Prices Rise 0.3% In November (23 min(s), 43 sec(s) ago)
(RTTNews) - Producer prices in Japan were up 0.3 percent on month in November, the Bank of Japan s ...Full Story»

China Inflation Data Due On Wednesday (58 min(s), 43 sec(s) ago)
(RTTNews) - China will on Friday release November numbers for consumer and producer prices, highli ...Full Story»

Ten-Year Note Auction Attracts Average Demand (04 min(s), 43 sec(s) ago)
(RTTNews) - The Treasury Department continued this week's series of announcements of the resul ...Full Story»

U.S. Leading Economic Index Falls 0.3% In September (59 min(s), 43 sec(s) ago)
(RTTNews) - A report released by the Conference Board on Tuesday showed a continued decrease by it ...Full Story»

U.S. Job Openings Edge Slightly Higher In October (47 min(s), 43 sec(s) ago)
(RTTNews) - Job openings in the U.S. edged slightly higher in the month of October, according to a ...Full Story»

Denmark Trade Surplus Shrinks In October (04 min(s), 43 sec(s) ago)
(RTTNews) - Denmark's foreign trade surplus decreased in October as exports fell amid an incre ...Full Story»

U.S. NFIB Small Business Confidence Index Rises More Than Expected (55 min(s), 43 sec(s) ago)
(RTTNews) - U.S. small businesses turned more confident than expected in November on stronger sale ...Full Story»