World economic boom and lurking risks | The Indian Express

World economic boom and lurking risks | The Indian Express

World economic boom and lurking risks

Economies are growing, wherever you look - in Germany, India and elsewhere. Naturally, everyone believes that this will continue unabated. But there are risks that should not be underestimated, DW's Henrik Böhme warns.

By:  | Published: January 21, 2018 9:41 am

German Chancellor Angela Merkel (AP Photo)

At the turn of the century, the German economy was regarded as the sick man of Europe. Tough labour market reforms implemented by the then Chancellor Gerhard Schröder’s government helped the country turn the corner.

Germany has now seen its economy expand for eight consecutive years. Unemployment is at a record low, the government is flush with cash due to swelling tax receipts and budget surpluses, and German exports continue to outstrip imports yielding huge trade surpluses.