German Economy Minister Says Recovery From Coronavirus Impact Will Begin In October

German Economy Minister Peter Altmaier said Sunday that he believes the country’s economy will bounce back from the coronavirus starting in October.

“I am sure that the downturn of our economy can be stopped after the summer break and that from October onwards, the economy can start growing again in Germany,” Altmaier told Berlin-based Bild am Sonntag newspaper.

Altmaier believes the German economy could grow by over 5% in 2021. German GDP is projected to plunge 6% in 2020 due to the virus.

Altmaier also said he is concerned about the resurgence of coronavirus cases in the United States. Cases have spiked in states such as Arizona, Florida, Texas and California.

"I am very concerned by the rising number of new infections in the US," Altmaier told Bild. "An out-of-control pandemic over there would have big consequences for the global economy."

In the first quarter of the year, the German economy shrank by 2.2%, with economic output likely to show a sharper contraction in the second quarter. German Chancellor Angela Merkel announced a strict lockdown on March 17 to prevent the spread of the virus, with the country beginning to reopen small businesses on April 20.

Germany’s death toll was not as high as other hotspots such as Spain and Italy. Widespread testing, along with an oversupply of hospital beds, helped Germany combat the outbreak.

As of Sunday at 3:30 p.m. ET, Germany has 197,399 coronavirus cases and a death toll of 9,023. More than 1,500 workers were recently infected by the virus at a meatpacking plant in North Rhine-Westphalia in western Germany. New lockdown measures have been reintroduced in the area.

Germany’s economy was stagnant prior to the coronavirus due to the U.S.-China trade war and the prospect of the U.K. leaving the European Union without a deal. The German economy showed no growth in the final quarter of 2019.

Europe as a whole has also taken a hard economic hit from the virus. According to the European Commission, the EU’s economy is expected to contract by 7.5% this year due to the virus and is expected to bounce back by 6% in 2021.