German consumer sentiment expected to fall to 11-month low in March

By Mucahithan Avcioglu

ISTANBUL (AA) - Consumer climate in Germany is projected to weaken in March, declining to its lowest since April 2024, according to data released on Wednesday.

Market research company GfK expected minus 24.7 points for consumer sentiment in March, down 2.1 points from February's downwardly revised figure of minus 22.6 points.

The figure missed the market's forecast of minus 21.7 points for March.

"The current figures show no signs of a recovery in consumer sentiment in Germany. The Consumer Climate has been stagnating at a low level since the middle of last year. There is still a great deal of uncertainty among consumers and a lack of planning security," said Rolf Burkl, consumer expert at Nuremberg Institute for Market Decisions.

"A fast formation of a new federal government after the parliamentary elections and the rapid approval of this year's budget would give both companies and private households more certainty when it comes to planning. This would create important conditions for consumers to be more willing to spend money and to revive consumption," he added.

The income expectations of consumers also fell 4.3 points in February to its 13-month low to stand at minus 5.4 points.

The propensity to buy lost 2.7 points and stood at minus 11.1 in February.

On the other hand, German consumers' confidence in the economy rose 2.8 points to a current value of 1.2.