German Economy Should Have Worst Behind It, Weidmann Tells FAZ

Germany’s economy is probably past the worst of the fallout from the coronavirus, Bundesbank President Jens Weidmann told Frankfurter Allgemeine Zeitung in an interview.

“In the last few months we’ve had the sharpest economic deterioration in the history of the republic,” FAZ cited Weidmann as saying in an excerpt of the interview. “The good news is that the low point should be behind us and things are improving.”

Still, the recovery will be “comparably gradual,” the newspaper cited Weidmann as saying. The German government was right to act quickly in supporting companies and jobs and the state still has the ability to provide further aid if there is a wave of insolvencies in the fall, Weidmann said, according to FAZ.

Weidmann said he doesn’t expect prices to rise this year, the newspaper said. “In sum, the price-damping effects probably weigh heavier,” FAZ cited the central banker as saying.

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