Central Banks

ECB’s Lane Sees Services Driving Growth Despite German Recession

  • Services are feeding inflation, though, chief economist says
  • Lane expects ‘further progress’ on inflation after the summer

Philip Lane

Photographer: Alex Kraus/Bloomberg
Lock
This article is for subscribers only.

European Central Bank Chief Economist Philip Lane said the continent’s services sector will help fuel economic growth — even as Germany endures a recession.

“Germany, as the big manufacturing center, is suffering from the slowdown in manufacturing,” Lane told Croatia’s Nova TV in an interview aired Friday. “But when you take all of the euro area, the services sector is very big and we do think the services sector will grow this year.”