FRANKFURT (Reuters) – Euro zone economic growth may turn negative this quarter but a recession is not a given since some economic data, particularly in Germany, have surprised on the upside, European Central Bank policymaker Klaas Knot said on Monday.
“If you look at Germany, where actually the economy is doing better than then was feared, it’s not a foregone conclusion that we will get a recession,” Knot told a conference in Paris.
“We will get weaker growth, that’s for sure,” Knot, an outspoken policy hawk, said. “But we also need weaker growth to bring inflation back to target.”
(Reporting by Balazs Koranyi, Editing by William Maclean)
