FRANKFURT (MktNews) - Growth in Germany, the euro area's largest economy, continues at a "very high" pace, but the signs of a slowdown seen since the middle of last year have intensified further, the Finance Ministry said Tuesday.
"According to the economic data available so far this year for production, exports and manufacturing orders, economic activity appears to have continued at a very high level," the ministry said in its monthly report for March.
"For the near term, manufacturing sector output is expected to continue at a fast pace," the ministry added.
At the same time, however, the signs a slowing of economic activity in Germany and other countries due to the sharp rise in global oil prices "intensified further" in early 2001, the ministry acknowledged.
The global slowdown, it warned, has "left its mark" on German business confidence, particular with regard to future expectations.
Meanwhile, German Chancellor Gerhard Schroeder, speaking in Munich, reiterated the federal government's forecast that the domestic economy will expand by about 2.75% this year.