Friday , September 20 2019
Home / belgium / Germany is ready to leave the budget in the event of a recession

Germany is ready to leave the budget in the event of a recession



To face a recession, Chancellor Angela Merkel's government would be prepared to abandon a balanced budget policy and issue debt.

Chancellor Angela Merkel's government will be ready leave the balanced budget policy and issued a debt to tackle a possible recession, the Der Spiegel weekly reported on Friday.

It fears it will enter Europe's leading economic power recession The decline in exports as a result of the slowdown in the global economy, trade tensions and Brexit uncertainties led to a 0.1% drop in GDP in the second quarter.

Germany has managed to maintain a balanced budget since 2014, the principle of increasing public debt introduced by the former conservative finance minister Wolfgang Schaeuble and respected by his present heir, Olaf Holtza member of the Social Democratic Party.

The finance ministry declined to comment on SPIEGEL's information.

Germany has been facing for years urges eurozone partners and the International Monetary Fund to boost public spending, boosting the monetary union economy as a whole.


Source link