ZEE Business
ZEE BUSINESS
हिंदी में पढ़ें  हिंदी में पढ़ें
Live TV
Live TV
  • Home
  • Personal Finance
    • PPF
    • Mutual Funds
    • Income tax
    • EPFO
    • Income Tax Calculator
    • Personal Loan Calculator
    • Car Loan Calculator
    • Home Loan Calculator
    • SIP calculator
    • SWP Calculator
    • MF Returns Calculator
    • Lumpsum Calculator
  • India
    • Companies
    • Property
    • Startups
    • Uidai
  • Economy
    • Aviation
  • Tech
    • Mobiles
    • Apps
  • Auto
    • Cars
    • Bikes
  • Markets
    • Commodities
    • Currency
  • Railways
  • World
    • Economy
    • Politics
    • Markets
  • videos
  • photos
  • MSME Summit
  • Trending News
    • Viral News
    • Travel
    • People
    • Entertainment
    • Sports
  • More ...
    • VIDEOS
    • PHOTOS
BREAKING NEWS
  • Paisa Wasool: Mutual Funds-SIP Returns Calculator | Start from Rs 5k, get Rs 1.75 cr - SOLID MONEY FORMULA
  • WhatsApp New Feature: Soon! you can undo, recover WhatsApp deleted messages
  • LIC customers ALERT! Insurer launches campaign to revive lapsed policies - All you need to know
  • Wealth Guide: Income Tax - SMART TIPS! 5 tax-saving techniques for FY23 - Here is what expert suggests
  • Loss-making US company's share price zooms over 400% in one month - factors behind rally DECODED
Read in App
Business News » World News

Unclear how deep and lasting Germany's economic problems are: ECB's Nowotny

"The fear is that particularly in the auto industry we have lasting changes that affect Germany especially," said Nowotny, who is also governor of the Austrian National Bank.

  • Twitter
  • Facebook
  • Linkedin
  • whatapp
  • View in App
Unclear how deep and lasting Germany's economic problems are: ECB's Nowotny
"The most important economic question for Europe is whether these are one-off slowdowns or whether structural factors are behind them," ECB`s Governing Council member Nowotny said in an interview, Image source: Reuters

It is unclear if Germany`s recent economic setbacks are a one-off or a more lasting phenomenon caused by structural problems, particularly in its car industry, European Central Bank policymaker Ewald Nowotny said in remarks published on Saturday.

Struggling to adjust to new emission testing standards, Germany`s car manufacturing contracted in the third quarter, dragging overall economic growth into negative territory and raising fears that Europe`s five-year-old growth run may be coming to a premature end.

The Bundesbank said in a monthly economic report last month that Germany`s dominant car industry may take longer than previously thought to recover from a slump, weighing on growth in the euro zone`s biggest economy.

"The most important economic question for Europe is whether these are one-off slowdowns or whether structural factors are behind them," ECB`s Governing Council member Nowotny said in an interview with Austrian newspaper Der Standard, discussing the prospect of a second quarter of negative growth in Germany.

"The fear is that particularly in the auto industry we have lasting changes that affect Germany especially," said Nowotny, who is also governor of the Austrian National Bank.

The Bundesbank said in its report last month that while a quick rebound in the auto sector had been forecast, fresh data was disappointing those hopes. 

It added that the slump was exacerbated by an overall deterioration in sentiment as well as uncertainty over the future of diesel cars as cities contemplate bans to reduce pollution.

"What I find particularly unsettling are psychological factors. The whole diesel discussion, combined with the problems in the auto industry, increases uncertainty," Nowotny said.

"If people defer the purchase of a car by just half a year, that causes a vast fall in demand. There would be lasting and dramatic consequences if there were real structural collapses in the export- and machinery-oriented economy. Germany could become vulnerable," he said.

Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.

TAGS:
European Central Bank (ECB)
Written By: Reuters
Updated: Sat, Jan 12, 2019
11:17 am
VIENNA, Reuters
RELATED NEWS
Will RBI go for steep repo rate hike next week? Axis Bank chief economist Saugata Bhattacharya predicts Will RBI go for steep repo rate hike next week? Axis Bank chief economist Saugata Bhattacharya predicts
European Central Bank hikes interest rate by larger-than-expected, first increase in 11 years European Central Bank hikes interest rate by larger-than-expected, first increase in 11 years
Gold firms as Ukraine crisis lifts demand for inflation hedge Gold firms as Ukraine crisis lifts demand for inflation hedge
European Central Bank (ECB) sets 'moderately lower pace' for bond buying European Central Bank (ECB) sets 'moderately lower pace' for bond buying
German inflation slows just as ECB dials back stimulus German inflation slows just as ECB dials back stimulus

LATEST NEWS

WhatsApp New Feature: Soon! you can undo, recover WhatsApp deleted messages

Bank of Baroda launches special deposit schemes offering higher interest rates up to 6 pc

Exclusive: Key Ukrainian adviser says new, $5 billion IMF loan would reassure other creditors

"It is our moral duty to ensure best deal, India can't afford higher oil prices..." EAM Jaishankar on importing Russian oil

China in grip of worst heatwave in 60 years; factories ordered to shut down

Wealth Guide: Income Tax - SMART TIPS! 5 tax-saving techniques for FY23 - Here is what expert suggests

IBPS clerk admit card 2022 download link ibps.in - Step-by-step guide

Paisa Wasool: Mutual Funds-SIP Returns Calculator | Start from Rs 5k, get Rs 1.75 cr - SOLID MONEY FORMULA FOR RETIREMENT

No more work from home for this tech giant employees, sets September 5 as deadline - details

Ashish Dhawan portfolio stock: This small-cap IT company shares may surge 33% - Brokerage recommends Buy - check price target

  • India News
  • World News
  • Companies News
  • Market News
  • Personal Finance News
  • Technology News
  • Automobile News
  • Small Business News
  • Income Tax Calculator
  • Live TV
  • Videos
  • Photos
  • Author
  • Rss Feed
  • Advertise with us
  • Privacy Policy
  • Legal Disclaimer

Latest Trending Updates

  • EPFO
  • Budget 2020
  • Income Tax Return
  • Auto Expo 2020
  • Home Loan
  • Business News

Trending Topics

  • Income Tax
  • income Tax Calculator
  • 7th Pay Commission
  • Reserve Bank of India
  • GST
  • Latest Business News

Follow us on

zeebiz
zeebiz

Partner Sites

  • Zee News
  • Hindi News
  • Marathi News
  • Bengali News
  • Tamil News
  • Malayalam News
  • Gujarati News
  • Telugu News
  • Kannada News
  • DNA
  • WION
© 2022. India Dot Com Private Limited. All Rights Reserved.
LIVE TV