AFP, Berlin :
Germany booked solid growth in 2016, data showed Thursday, with a sizeable surplus in the public finances of Europe’s economic powerhouse likely to fuel fierce political debate in an election year.
Growth of 1.9 percent was largely powered by household consumption and state spending on refugees, the federal statistics office Destatis said in a preliminary estimate.
The better-than-expected figure beats the 1.7 percent seen in 2015 and marks the fastest pace of growth recorded in Germany since 2011.
“Domestic consumption was decisive for the positive development in the German economy in 2016,” Destatis said in a statement, pointing to increases of 2.0 percent and 4.2 percent respectively in household and government spending.
“One of the reasons for this strong growth is that a large number of people seeking refuge immigrated, which resulted in considerable costs,” Destatis said.
Germany has registered more than one million asylum seekers since 2015 and the government has set aside a multi-billion euro fund to finance the costs of housing and integrating the newcomers.
Exports, traditionally the motor of the German economy, were less critical in 2016, expanding 2.5 percent as imports increased 3.4 percent.
Germany booked solid growth in 2016, data showed Thursday, with a sizeable surplus in the public finances of Europe’s economic powerhouse likely to fuel fierce political debate in an election year.
Growth of 1.9 percent was largely powered by household consumption and state spending on refugees, the federal statistics office Destatis said in a preliminary estimate.
The better-than-expected figure beats the 1.7 percent seen in 2015 and marks the fastest pace of growth recorded in Germany since 2011.
“Domestic consumption was decisive for the positive development in the German economy in 2016,” Destatis said in a statement, pointing to increases of 2.0 percent and 4.2 percent respectively in household and government spending.
“One of the reasons for this strong growth is that a large number of people seeking refuge immigrated, which resulted in considerable costs,” Destatis said.
Germany has registered more than one million asylum seekers since 2015 and the government has set aside a multi-billion euro fund to finance the costs of housing and integrating the newcomers.
Exports, traditionally the motor of the German economy, were less critical in 2016, expanding 2.5 percent as imports increased 3.4 percent.
