German economy projected to grow beyond previous expectations in 2018

Germany stands out as one of Europe's most prominent economies due to its track record during the last several years. Further indication of the nation's strength in this area came via the 14 December 2017 release of revised growth forecasts from the Ifo Institute.

Originally, Ifo projected 2.0 per cent growth in the German economy in 2018, which by economists' standards would have constituted reasonable success. Per the organization's adjusted figures, the year is now expected to experience growth at a 2.6 per cent rate.  

Clemens Fuest, president of Ifo, lauded the nation's market strengths in the forecast announcement.

"The German economy is in great shape," Fuest said. "The impetus seen in 2017 will carry over deep into 2018." 

Chris Williamson, an economist with IHS Markit, touched on the apparent determination of German businesses in an interview with Reuters.

"[German] companies appear to be just shrugging off any political worries and just focusing on the demand environment - demand both at home and abroad is rising very, very strongly," Williamson said to the news provider. 

Germany's thriving workforce is seen as a major contributor to its economic strength. Total employment, which reached 44.3 million in 2017, should rise to 44.8 million next year and 45.2 million in 2019. Similarly, Ifo projected a drop in unemployment during the same period: The metric is expected to slide to 4.9 per cent by 2019's end. 

German economy projected to grow beyond previous expectations in 2018