Germany's economy starting new year with more confidence: Report

Companies have 'considerably less pessimistic expectations' for coming months, says Munich-based research center

By Gokhan Ergocun

ISTANBUL (AA) – The German economy is starting the new year with more confidence thanks to “considerably less pessimistic expectations” from companies, according to the Munich-based Ifo Institute for Economic Research.

The Ifo Business Climate Index rose to 90.2 in January, but companies were “somewhat less satisfied with their current situation,” read a report released on Wednesday.

“In manufacturing, the index continued along its upward trajectory. Companies assessed their current situation as better,” the report said.

“Their expectations for the coming six months were also noticeably brighter. Order volumes are declining but remain at a high level. Production is set to increase in the months ahead.”

In the service sector, the business climate improved and providers were less pessimistic for the months ahead.

“In construction, the business climate improved marginally. Businesses were slightly less pessimistic about the coming months,” it added.

Kaynak: