Germany got great benefit from eurozone crisis

The crisis in the eurozone has brought Germany great benefit despite the fact that other members of the European Union are grappling with financial woes and budget deficit, a report says.

According to a recent report by euronews, calculations by Germany’s Finance Ministry indicated nearly 41 billion euros in reduced interest payments on the country’s borrowings between 2010 and 2014.

The report added that since investors see Germany as a safe haven, they have been buying government bonds in huge numbers thus slashing the amount of interest the Europe’s powerhouse has to offer on those bonds.

The report comes as Germany’s investor confidence index dropped more than two points to 36.3 points in July, following reports of poor industrial production and low export data in the debt-stricken eurozone.

On June 3, the International Monetary Fund (IMF) halved its 2013 economic growth forecast for Germany to 0.3 percent as recession in the eurozone continues to hold back Europe’s largest economy.

A recent statement by Germany’s Federal Labor Agency also showed that the number of jobless people in Europe’s biggest economy reached a total of 2.914 million in June, up 0.2 percent from a month ago.

Europe plunged into financial crisis in early 2008.

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