The independent German Council of Economic Experts said the forecast 2017 slowdown is primarily due to calendar effects and that "growth momentum will remain essentially unchanged".
Britain's vote to leave the European Union so far had hardly any impact on the German economy, but it is worth fighting for the goal to keep the country in the bloc, the head of Germany's council of economic experts said on Wednesday.
Your current subscription does not provide access to this content. However, it is advising Germany and others in the 19-country eurozone to "use the tailwinds of the economic upturn to carry out structural reforms". The news followed reports that German year-over-year employment grew 0.9 percent in September, with 376,000 more people employed compared to September 2015, according to the German federal data agency Statistisches Bundesamt.
The group argued that Germany's financial leeway should be used to reduce debt and conduct tax reforms rather than increase spending.
The government decided a decade ago to raise the retirement age from 65 to 67.
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Instead, it considers wording requirements, such as whether proposals are limited to a single subject and are unambiguous.
Economic advisors to Angela Merkel's government have called for Germany to intervene to prevent Brexit from going ahead. Merkel said that she is "optimistic" about the future of the immigration deal, adding that the negotiations "are bound" to be successful.
"For us, it is always time for reforms - there may be differences over whether they are always the way you see them being", she said as she was presented with the panel's annual report.
In a move which Brexiteers will see as outrageous meddling in the June 23 referendum result for Britain to exit the European Union, the German Council of Economic Experts also warned that, in its view, leaving the bloc was not a done deal. "We want a solution; we want a solution that of course comports with the freedom of movement".
Switzerland isn't a member of the 28-nation bloc, but enjoys close ties with it, and has struggled to reconcile the referendum with the EU's insistence on free movement of labor.