German stimulus could prevent downturn

摘要

The german government will invest up to an extra rn€ 18 billion in construction over the next two years, as part of its new € 50 billion stimulus package. This additional spending could prevent a recession in the German construction market this year. rnThe € 18 billion construction investment will be focused on infrastructure projects, including broadband communications networks, and there will also be heavy spending in the education and health sectors. The rest of the € 50 billion will be spent on tax cuts, aid for the auto industry and credit guarantees for the private sector. rnWith a construction market worth some € 264 billion last year according rnto Euroconstruct, the new round of spending could increase output in the industry by more than +3% for the next two years.