The magnetic behaviour of the liquid system Ge-Te has been determined with the help of susceptibility measurements. Two pronounced minima have been observed indicating the persistence of locally ordered regions in the liquid state. The minimum at the equiatomic composition, although markedly decreasing with increasing temperature, persists up to at least 1330 K. The second minimum located at the eutectic composition (85 at%Te) was found to be extremely temperature dependent and disappeared within 100 K above the eutectic temperature. A theoretical treatment has been attempted within the framework of the free electron approximation.