The European Commission says Germany’s sound public finances mean it could put more money into public investment to boost growth.
“Germany started last year to boost public investment as we wanted, it has do more and we will closely follow the evolution of this situation, which is key for the euro area, and we will make the necessary recommendations in the spring and we will then judge on the basis of the actions taken by the next government,” said EU economics commissioner Pierre Moscovici.
The recommendations came as part of the Commission’s twice yearly analysis of EU economies.
EU officials also said that more progress was needed by Germany to spend more on education, research and innovation.
The commission also pointed to Limited progress reducing inefficiencies in the tax system, modernising tax administration.