BERLIN (MNI) – German Economics Minister Philipp Roesler said
Wednesday that the government will likely revise downward its economic
growth forecasts for Germany made in April.

“The tendency is that due to the agitated situation on financial
markets in the Eurozone as well as on global markets and in emerging
economies, our growth forecasts will likely be revised downwards,”
Roesler said at a press conference here.

The economics ministry is scheduled to release the government’s new
growth forecasts on October 20. In April, the government had forecast
German GDP growth of 2.6% in 2011 and of 1.8% in 2012.

Turning to the Eurozone debt crisis, the minister said he expected
that the Slovakian parliament in the end will also approve the
enlargement of the European Financial Stability Facility (EFSF).

Roesler once again rejected calls for a direct support of banks in
the Eurozone by the EFSF. “Only states can be supported,” he said.

The minister also said that he was against a compulsory
recapitalisation of banks in the Eurozone.

–Berlin bureau: +49-30-22 62 05 80; email: twidder@marketnews.com

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