German economy likely to reach pre-pandemic level in H2 – Kukies

Deputy Finance Minister Joerg Kukies testifies at Wirecard inquiry
FILE PHOTO: Deputy Finance Minister Joerg Kukies arrives for questioning by a German federal parliament committee investigating the payment systems provider Wirecard scandal in Berlin, Germany, April 21, 2021. Bernd von Jutrczenka/Pool via REUTERS

June 1, 2021

BERLIN (Reuters) – The German economy is likely to reach its pre-pandemic level in the second half of the year, as falling coronavirus infections and progress in the vaccination campaign enable a solid recovery, Deputy Finance Minister Joerg Kukies said on Tuesday.

In a briefing on Germany’s financial stability, Bundesbank Vice President Claudia Buch said prices for residential real estate continued to rise sharply which was pushing up household debt.

But the related risks for the financial stability are mitigated by Germany’s relatively low level of household indebtedness, Buch added.

(Reporting by Michael Nienaber; Editing by Caroline Copley)