German economy contracts 0.1% in 3rd quarter

ANKARA 

Germany’s gross domestic product fell 0.1% in the third quarter of 2023 from the previous period, better than market forecast, according to flash estimates on Monday.

The figure shifted from an upwardly revised 0.1% growth in the second quarter of this year, the Federal Statistical Office (Destatis) data showed.

Market expected that the German economy would contract 0.3% in July-September.

The household final consumption expenditure was lower led by persistent inflation and increasing borrowing costs.

On the other hand, gross fixed capital formation in machinery and equipment supported the GDP.

On an annual basis, Germany’s economy contracted 0.3% in the third quarter after stagnating in the second quarter.