"The reason for weak growth in 2013 is feeble demand from the euro zone due to the financial crisis. Now we are seeing that Germany isn't an island."
The Bundesbank on Friday slashed its growth forecast for Germany next year to 0.4 percent from a previous 1.6 percent and said it expected growth this year of 0.7 percent. Asmussen said he saw inflation below 2 percent next year and beyond.
He also warned France and Italy, Germany's euro zone partners, to keep up reforms. "We all have a huge interest in an economically strong and healthy France. Otherwise economic and monetary union cannot work. The French know this, and I'm sure they will tackle the necessary reforms." He praised the work of Italian Prime Minister Mario Monti, who said on Saturday he intended to resign early, once next year's budget is approved. "Whoever rules Italy after the election will have to carry on this reform course with the same determination," Asmussen said.