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German Economy (the biggest in the Eurozone) shrank for the first time in 3 years, in the 3 months ended September 30th 2018 by 0.2%. In the preceding quarter that ended on August 31st 2018, the economy grew by 0.5%. The German economy, which is export dependent saw export decline in the quarter in review, as a result of developments in foreign trade policies spearheaded by the USA. In the same period Germany's imports increased.

However, this decline in GDP is being viewed positively in Germany because it beat the forecast of -0.3%. The last time by German economy shrank by this much was in the second quarter of 2014.

GDP (Gross Domestic Product) is the widest measure of economic activity and is a major indicator of economic strength. The quarterly percentage changes in GDP shows the growth rate of the economy as a whole, a strong GDP growth rate signifies a strong economy.

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•Christos Zambas
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