Berlin: The German economy showed no change on a quarterly basis in the third quarter of the year, as reported by the federal statistical authority, Destatis, on Thursday. This stagnation aligns with market expectations for the period, as per Destatis' preliminary estimates.

According to Anadolu Agency, Germany's gross domestic product (GDP) experienced a contraction of 0.3% in the second quarter, following an expansion of 0.3% in the first quarter. The stagnation in the third quarter has allowed the country to narrowly avoid a technical recession, which is characterized by two or more consecutive quarters of GDP contraction.

Destatis highlighted that gross fixed capital formation in machinery and equipment showed positive development based on provisional results. However, exports saw a decrease compared to the previous quarter. Official data revealed that German exports in August fell by 0.7% on an annual basis and by 0.5% month-on-month, amounting to £129.7 billion ($150.6 billion).

The data also indicated a 2.5% decline in exports to the United States, Germany's largest export partner, marking the fifth consecutive month of decline and reaching the lowest value since November 2021. Conversely, the German economy registered a 0.3% growth rate on an annual basis in the third quarter, which was in line with market expectations.