The number of unemployed in Germany rose in September 2014 by 12 thousand. – To 2.92 million people, according to data of the Federal Employment Agency of Germany.
Analysts polled by Bloomberg, expected to reduce the number of unemployed by 2 thousand. Growth rate is contrary to the predictions observed for two months amid increasing economic risks due to tensions with Russia and the weakening of the recovery in the euro area.
Unemployment rate remained at 6.7% for the eighth month in a row, in line with market expectations. This level is the lowest since at least the time of German reunification more than two decades ago.
Unemployment in Germany is almost twice less than the average for the euro area, where it is 11.5%.
In 2014, the GDP of Germany, according to the European Commission, will increase by 1.8%, in 2015 – by 2%, which coincides with the consensus forecast of economists surveyed by Bloomberg. The Bundesbank expects growth of the German economy by 1.9% in 2014, 2% in 2015 and 1.8% in 2016.
Forecasts for the German economy overshadowed risks worsening trade with the countries of Eastern Europe against the background of the Ukrainian crisis, and with the states of the eurozone because of the weakening recovery.
IFO business confidence index in Germany fell this month to the lowest since April 2013, and a similar indicator of ZEW reached its lowest level in almost two years.
Germany was the leader of economic recovery in the euro zone until the second quarter of this year, when its GDP shrank. Return to the growth of the German economy is crucial for the currency bloc as a whole, experts say.
