Germany: Business confidence slides to lowest level since March 2010
July 25, 2012
Increasing uncertainty about the European debt crisis continue to fuel businesses concerns. In July, the business confidence indicator published by the Ifo Institute fell to 103.3 points, which represents the lowest level since March 2010. The reading came in below both the 105.2 points recorded in June and market expectations that had the indicator dropping to 104.5 points. The monthly drop reflected a deterioration in firms' assessment of their current business situation compared to the previous month. In addition, respondents to the July survey revealed less favorable business expectations for the next six months. According to the Institute, the euro crisis is having an increasingly negative impact on the German economy.