Page last updated at 11:16 GMT, Tuesday, 25 November 2008

Consumer confidence up in Germany

A woman walks past a storewindow advertisement showing drastic price reductions in Berlin
Consumers do not appear to be affected by the downturn, GfK says

German consumer sentiment has risen slightly for the third month in a row despite the country being in a recession, a survey has said.

The GfK research firm said its forward-looking consumer climate index rose to 2.2 for December from 1.9 in November.

"The financial crisis may have reached the real economy, but on the whole is not affecting consumer confidence," the research group said.

The rise was partly due to falling oil prices and an industrial wage deal.

Consumers assume that they will not be particularly affected by the economic low
GfK

GfK said a 4.2% pay rise over 18 months negotiated by Germany's biggest industrial union had fuelled hopes for "real income rises" in other sectors.

"Consumers assume that they will not be particularly affected by the economic low and believe there is no need to further restrict their willingness to buy at the moment," GfK said.

Meanwhile, the Federal Statistics Office confirmed its preliminary estimates for Germany's GDP, saying Europe's largest economy contracted by 0.5% during the July to September period.

The German economy is now in recession for the first time in five years.

On Monday, the Munich-based Ifo institute said that business confidence in Germany fell in November to the lowest level since 1993.



Print Sponsor


SEE ALSO
German economy now in recession
13 Nov 08 |  Business
German business confidence dives
24 Nov 08 |  Business
Eurozone business activity falls
21 Nov 08 |  Business
Eurozone officially in recession
14 Nov 08 |  Business
Pay deal averts strike in Germany
12 Nov 08 |  Business
Eurozone services signal slowdown
03 Oct 08 |  Business
Fall in eurozone retail sales
05 Nov 08 |  Business

RELATED INTERNET LINKS
The BBC is not responsible for the content of external internet sites


FEATURES, VIEWS, ANALYSIS
Has China's housing bubble burst?
How the world's oldest clove tree defied an empire
Why Royal Ballet principal Sergei Polunin quit

BBC iD

Sign in

BBC navigation

Copyright © 2019 BBC. The BBC is not responsible for the content of external sites. Read more.

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.

Americas Africa Europe Middle East South Asia Asia Pacific