The German economy is likely to face a "significant slowdown" in growth in the final quarter of 2012, the October monthly report from the Finance Ministry revealed Monday.

This largely reflected weak economic developments in some euro area economy, according to the report. However, the economy is likely to have expanded in the third quarter, it said.

Last week, the government revised up its growth forecast for 2012 to 0.8 percent due to unexpectedly strong improvement in economic performance in the first half. Meanwhile, the outlook for 2013 was lowered to 1 percent.

The ministry sees no risk of inflation at present and expects pricing climate to be moderate in the coming months.

The report said that Germany's total tax revenues increased 4.2 percent year-on-year to EUR 50.78 billion in September. During the January-September period, total tax revenues climbed 5.6 percent to EUR 403.39 billion.

RTTNews