Based on the report of Ifo Research Institute, the trade surplus account of Germany broke its own record of $297 billion last 2016, the figures beat China’s maximum which made Germany become the richest exporter worldwide. The total output is equal to 8.6 percent breaking the projected 6 percent of the European Commission. In 2015, the country’s current account is about $271 billion. Moreover, the EU executive together with the United States advises the highly populated European country to improve imports as well as the domestic demand as a means to lessen the imbalances in the global economy along with the international increase in fuel involves the euro region. However, Germany ignored this statement, claiming that the domestic demand boosted with the aid of the introduction of the minimum wage in 2015. The increase in state pensions last year also supported the economic aggregate spending. Moreover, the China’s surplus in 2016 is approximate $245 billion because of depleted exports according to the statistics from the Munich-based think tank. On the other hand, Sigmar Gabriel, the 57-year old Vice Chancellor, mentioned that Germany’s current account is possible to decline for 2017 due to uncertainties within the global trade.
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