German economy may recover by start of 2002

The German economy looks set to remain in the doldrums during the second half of the year, but may recover towards the beginning of the first quarter of 2002, according to Peter Lucas, investment analyst with Aegon Asset Management. 'Germany is a big exporting country and as a result they have suffered in the global slowdown. Recent rises in the price of oil has also affected the economy badly as Germany imports all of its oil,' Lucas says. This has offset the potential advantages to the economy offered by the German government's tax cuts earlier this year, leaving domestic German consu...