Gross domestic product (GDP), 2nd quarter of 2020
by Hans Diederichs
-10.1% on the previous quarter (price-, seasonally and calendar-adjusted)
The gross domestic product (GDP) fell a price-, seasonally and calendar-adjusted 10.1% on the first quarter of 2020. This was the largest decline since the beginning of quarterly GDP calculations for Germany in 1970. It was much larger than during the financial market and economic crisis (-4.7% in first quarter of 2009). The Federal Statistical Office (Destatis) also reports that in the second quarter of 2020 a massive slump was recorded for exports and imports of goods and services as well as for household final consumption expenditure and capital formation in machinery and equipment. General government, however, raised its final consumption expenditure during the crisis.
Massive slump in gross domestic product also on the same quarter of the previous year
The German economy slumped also in a year-on-year comparison. The GDP in the second quarter of 2020 was down a price-adjusted 11.7% (also calendar-adjusted) on a year earlier. Again, such large decreases had not been observed even during the financial market and economic crisis of 2008/2009. The largest decrease on the same quarter of the preceding year had been recorded in the second quarter of 2009 (-7.9%).
Starting with the second quarter of 2020, the Federal Statistical Office releases the GDP for the first time 30 days after the end of a quarter, that is, about two weeks earlier than in the past. The earlier availability the results requires a higher degree of estimates in the results than was the case after 45 days. The Federal Statistical Office will continue to release detailed results after about 55 days. The detailed figures for the second quarter of 2020 will be released on 25 August 2020.
Source and graphic: Destatis