Germany’s Altmaier: EU summit deal increases chances of economic recovery in 2H 2020

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Comments by German economy minister, Peter Altmaier

  • The likelihood of a gradual economic recovery has “enormously increased”
  • Expects a sustainable recovery in 2021 and 2022
  • Expects all European countries to return to growth in 2021

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The extra funds to provide aid to the economy is no doubt a positive thing, especially for the likes of Italy and Spain – who will benefit the most from the €390 billion in grants.

But do be reminded that they are many months late in terms of responding to the economic fallout and it will also be interesting to see how the promises on rebates to the “frugals” will work out down the road.

As for guaranteeing an economic recovery, I still reckon that relies much more on broader global sentiment more than anything else. Not to mention that if Europe sees a secondary wave of infections, it would derail the efforts over the last few months.

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