Initial figures for the second quarter of 2020 give cause for optimism.
The construction sector in particular became an anchor sector in the crisis, as construction investments fell by a comparatively small 4.2 percent.
Gross domestic product in the second quarter fell by 10.1 percent compared with the first quarter of 2020. Compared with the same quarter of the previous year, the slump was even 11.7 percent. This is the sharpest downturn in 50 years – even more marked than in the financial and economic crisis of 2008/2009, when GDP fell by 7.9 percent in the second quarter of 2009. Nevertheless, these figures show that the German economy is robust in international comparison. As in the previous month, current expectations regarding the future business situation remain very positive.
Source: Ifo Institute, Destatis.