Service Navigation

Homepage

Financial Stability Review 2021: German financial system has functioned well during pandemic

25.11.2021

The German financial system has functioned well during the pandemic; the extensive government measures have shielded the financial sector from losses. This is the conclusion reached by the Bundesbank in its Financial Stability Review 2021. At the presentation of the report, Bundesbank Vice-President Claudia Buch noted that, at the same time, vulnerabilities to adverse macroeconomic developments had built up continually, especially risks associated with real estate financing. “Now is the right time to take preventive action against future risks,” stressed Ms Buch.

Financial Stability Review 2021: German financial system has functioned well during pandemic
Claudia Buch - Press conference on the Financial Stability Review 2021
Bundesbank expects economic recovery to take breather in fourth quarter

26.11.2021

There was a steep rise economic output in Germany in the third quarter of 2021, the Bundesbank writes in its Monthly Report. Gross domestic product was up by 1.8%, therefore falling 1.1% short of its pre-crisis level in the fourth quarter of 2019. The Bundesbank’s experts expect that the economic recovery will probably take a breather in the fourth quarter. The Bundesbank takes a critical view of imposing a minimum wage of €12 per hour, which is an idea considered in the coalition talks. Inflation could temporarily rise to just under 6% in November.

Bundesbank expects economic recovery to take breather in fourth quarter
Industrial hall
Weidmann: Monetary policy should recognise and respect its own limitations

19.11.2021

Bundesbank President Jens Weidmann says central banks shouldn’t become harnessed to fiscal policy or financial markets. “One of the secrets of success for an independent monetary policy has always been recognising and respecting one’s own limitations,” he explained. Turning to the question of how stubborn the high price pressures will be, he said the elevated inflation rates will probably take longer than previously projected to recede again. “We should not ignore the risk of too high inflation and instead remain watchful.”

Weidmann: Monetary policy should recognise and respect its own limitations
Weidmann bei seiner Rede an der Humboldt Universität Berlin
Weidmann on cash: No other means of payment can replicate all its characteristics

15.11.2021

Speaking at the Bundesbank’s fifth cash symposium in Berlin, Bundesbank President Jens Weidmann and Executive Board member Johannes Beermann stressed that banknotes and coins still have an important role to play in payments. The main features of cash are that it is quick, easy and secure, Mr Weidmann explained.

Weidmann on cash: No other means of payment can replicate all its characteristics
 Jens Weidmann at the Frankfurt Financial Summit
Interest rates
To the top