The German economy, Europe's biggest, shrank by 2.1% in late 2008, its largest contraction since the country was reunited in 1990, official data confirms today.
The fourth-quarter drop from the previous three-month period marked the third quarter of economic decline in a row and suggested that Germany was in the midst of its worst recession since World War II.
Confirming figures first released on February 13, the Destatis statistics service said that 'the German economy declined markedly in the fourth quarter of 2008.'
Destatis added that the main reason for Germany's economic troubles was a fall in exports, which plummeted by 7.3% in the three-month period while imports declined by a more modest 3.6%.
Domestic companies also cut investment in machinery and equipment as foreign orders dried up, though inventory building contributed slightly to business activity.
On an annual comparison, fourth-quarter gross domestic product (GDP) shed 1.7% from the same time in 2007, Destatis said.
