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Brexit vote to have 'limited' economic impact on Germany - Bundesbank

Published 15/08/2016, 11:14
© Reuters. German British and European Union flags fly in front of the Reichstag building in Berlin

FRANKFURT (Reuters) - Britain's vote to leave the European Union should have limited immediate economic impact on Germany, the country's central bank said on Monday, noting the mood among entrepreneurs remained positive.

The Bundesbank expects the German economy to have continued to expand over the summer, underpinned by exports, industrial production, construction and consumer spending.

"Against the background of an intense public debate about the economic effects of the announced exit of the United Kingdom from the EU, German companies' positive expectations have so far only been modestly dampened," the Bundesbank said in its monthly report.

"This supports the view that the economic consequences of the Brexit vote for Germany will be limited, at least in the short term."

Germany's gross domestic product grew by 0.4 percent in the three months to June, data showed last week.

© Reuters. German British and European Union flags fly in front of the Reichstag building in Berlin

While this was less than in the first quarter of the year, it still put Germany well ahead of its peers and of analyst expectations.

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