Germany Business Confidence

Germany

Germany: Business confidence jumps to 17-month high in November

November 24, 2015

Confidence among German businesses improved notably in November. The business confidence index, elaborated by the Ifo Institute, came in at 109.0 in November, which was up from October’s 108.2. The reading overshot market expectations of the index remaining at October’s level and marked the highest reading since June 2014. According to the Institute, November’s rise reflects that firms grew more confident about both future business development and about the current situation.

Sentiment improved across all economic sectors except for retailing. Manufacturing registered the first increase after three months of falling sentiment and the Ifo Institute highlighted that, “the subindex for the automotive sector continued to rise despite the emissions scandal.” Confidence among wholesalers climbed to the highest reading since January of last year and sentiment in the construction sector reached the highest point since the German reunification. By contrast, sentiment fell in the retailing sector, mainly because retailers were less confidence about the future outlook. Overall, the Ifo Institue commented on November’s results in saying that, “the German economy remains unaffected by growing uncertainty worldwide. Not even the Paris attacks had a negative impact on survey data.”

FocusEconomics Consensus Forecast panelists expect gross fixed investment to expand 2.4% in 2015, which is down 0.1 percentage points from last month’s forecast. In 2016, the panel sees investment growth accelerating to 2.9%, which is down 0.2 percentage points from last month’s Consensus.


Author: Teresa Kersting, Economist

Sample Report

Looking for forecasts related to Business Confidence in Germany? Download a sample report now.

Download

Germany Business Confidence Chart


Germany Business Confidence November 2015

Note: Ifo Business Climate Index, 2000=100.
Source: Ifo Business Survey.


Germany Economic News

More news

Search form