“The German economy is overcoming the coronavirus crisis and is poised for the start of a strong upswing,” writes the Bundesbank in its semi-annual projection. The Bundesbank’s economists expect that gross domestic product will reattain its pre-crisis level as early as this summer. It is likely that the rate of inflation will rise strongly to 2.6% in 2021.
Weidmann: Enhance transparency of climate-related financial risks
Bundesbank President Jens Weidmann says that climate-related financial disclosures should be mandatory, and also sees central banks as having a role to play in helping to boost market transparency. “The Eurosystem has a legitimate interest in making climate-related risks more transparent,” he said in a speech at the Green Swan 2021 Global Virtual Conference, an event hosted by the Bank for International Settlements and others.
Weidmann: Debt brake is not an impediment to forward-looking investment
Bundesbank President Jens Weidmann refuted the harsh criticism directed at the debt brake by some. In a speech delivered in honour of the 70th anniversary of the German Economic Institute, he said that it was “not an impediment to forward-looking investment and a modern state”.
G-FSC annual report: German financial system stable so far in the crisis
The German Financial Stability Committee (G-FSC) has presented its eighth report on financial stability in Germany to the German Bundestag. Its report focuses on the impact of the coronavirus pandemic on the German financial system.