Germany

In Germany the economic upturn continued at a rapid tempo in the year under review. Real gross domestic product grew by 3.6% in the full year. Having been the tailender for many years in the Eurozone, the German economy thus delivered above-average growth contributions to gross domestic product within the area of the single currency. The most significant growth engine in the year under review was the domestic economy. This can be attributed to the greater incentive to invest that resulted from the historically low interest rate level. Private consumption rose for the third time in succession in the summer quarter, although public-sector consumption surged even more strongly. Thanks to the economic upturn the state of the labour market continued to ease in 2010.