Business confidence in Germany rises in December
German business confidence rose in line with expectations in December, the IFO Institute for Economic Research on Thursday revealed.
IFO’s index increased to 105.5 from 104.7 a month earlier.
Business expectations for the next six months also improved in December to 101.1 from 99.8 in November. Analysts expected the index to rise to 100.5.
Berenberg economist Christian Schulz said the index “heralds the end of the economic rough patch”.
Schulz continued: “Resilient export expectations, a strong competitive position, receding uncertainty over Russia’s action in Ukraine and cheap oil boost the outlook for Germany’s industrial backbone.”
However, Capital Economics analysts said the German economic growth remains “well short of the rates required to drive a decent upturn across the Eurozone”.