German economy accelerates, grows 0.7 percent in 1st quarter

BERLIN – Official data show that German economic growth accelerated to 0.7 percent in the first quarter.

The Federal Statistical Office said Friday that growth in the economy, Europe's biggest, was up from 0.3 percent in last year's final quarter.

It said the extra growth was due largely to domestic demand, with private spending and investment in equipment and construction increasing — the latter helped by mild winter weather. Foreign trade weighed on growth slightly, with imports increasing more than exports.

The government is predicting that gross domestic product will grow 1.7 percent this year, the same as last year. The economy is traditionally export-heavy but lately has been fueled increasingly by domestic demand.