German growth forecast cut in half for 2015: Bundesbank

Germany’s central bank has halved its projection of economic growth in the country for 2015, putting the number at one percent.

The Deutsche Bundesbank said gross domestic product (GDP) in Germany is expected to grow at only one percent next year — half of what it predicted earlier for the year.

The economy will also perform less than expected this year, growing at 1.4 percent instead of the 1.9 percent the bank predicted in June.

The German economy lost considerable momentum in the second and third quarters of 2014, the bank said, adding that growth reflects a more level path.

However, Europe’s largest economy still maintains a remarkably good shape, with GDP expected to expand 1.6 percent in 2016, the bank said.

The Bundesbank also predicted that the economy will pick up over the course of 2015, but only if economic recovery in the euro area strengthens.

The report comes as the German government has been under pressure by European partners to boost investment in order to stimulate the economies of Berlin and the eurozone.

The debt crisis in Europe has forced the European Union governments to adopt harsh austerity measures and tough economic reforms, which have triggered incidents of social unrest and massive protests in many European countries.