Germany’s net international investment position stood at €1,709 billion at the end of 2016, thus amounting to around 54% of nominal gross domestic product. Year-on-year, the German net external asset position thereby increased by €231 billion.

The detailed results of the foreign direct investment stock statistics for 2010 to 2013 are now available for the first time based on the new calculation method, which was implemented as part of the harmonisation measures in accordance with the new OECD Benchmark Definition of Foreign Direct Investment (FDI). This has resulted in a significant reduction in FDI stocks.

The financial and sovereign debt crisis which has afflicted the euro area for more than seven years now has clearly left a mark on the financial market, having forced monetary policymakers to roll out highly accommodative measures and legislators to make adjustments to the regulatory framework.

The German economy was buoyant during the first three months of the year. The Bundesbank economists, writing in the latest Monthly Report, expect economic output to remain on a marked upward trajectory in the second quarter. Another topic they discuss is what needs to be done to strengthen the regulatory framework underpinning European monetary union.

The Bundesbank received its final payment from the insolvency proceedings concerning Lehman Brothers Bankhaus AG (LBB) in January 2015. Following the realisation of monetary policy collateral, there remained an outstanding claim of around €1.9 billion. This has now been settled in full by payments from the insolvency estate of LBB and payments from the insolvency estate of the group parent company in the USA.

Germany's net external position stood at €1,204 billion at the end of 2013, and thus amounted to almost 43% of gross domestic product. The German net external asset position rose by €251 billion year-on-year. This increase primarily reflects Germany's current account surplus last year. Unlike in previous years, the increase occurred against the backdrop of declining gross amounts outstanding.

Experience has shown that exchange rates can be fairly volatile in times of heightened tension in the international financial markets.

Topics: Germany’s balance of payments in 2013, Shadow banking in the euro area: outline and monetary policy implications, Manufacturing enterprises in Germany: their vulnerability to crises ̶ findings of a risk analysis using year-end data