German industry has high hopes for 2016 with further growth forecast

Berlin, Rabi’I 19, 1437, December 30, 2015, SPA — The head of Germany’s industry federation predicts
economic output could grow by “almost 2 per cent” in 2016, reassuring
businesses that Europe’s biggest economy can fend off financial risks
in the coming year, dpa reported.

“The economic situation in Germany is still driven by a very positive
development in employment and private consumption,” Ulrich Grillo,
president of the Federation of German Industries (BDI), told dpa.

“The real income of households will grow significantly in the next
year,” he said. “The good development in the job market should
continue.”

Grillo’s prognosis is more optimistic than that of many economists.

He concedes that many factors remain uncertain as Germany tries to
accommodate a steady wave of migrants and refugees to the country,
which has become a top destination in Europe for people fleeing war
and misery in the Middle East and Africa.
Grillo also cited the cheap price of oil and modest interest rates as
factors in driving German business in the new year, while unstable
markets in developing countries such as Brazil or China threatened a
knock-on effect for global trading.
–SPA
13:54 LOCAL TIME 10:54 GMT