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According to the Ifo Business Climate Index, the mood in companies is picking up again

According to the Ifo Business Climate Index, the mood in companies is picking up again

DrThe mood on the executive floors of German companies has improved for the fourth consecutive month since the start of the year. the IFO Business Climate Index It rose in January to 90.2 points from 88.6 points in the previous month, the Munich Ifo Institute announced Wednesday in its survey of nearly 9,000 CEOs. Economists expected, in an interview with Reuters news agency, that the increase would be of this magnitude.

However, companies were less satisfied with current business than they were in December, while expectations for the next six months increased. “The German economy starts the new year with more confidence,” said the Ifo boss. Clemens Fuest.

According to the latest S&P Global Purchasing Managers’ Index, the economy in this country is looking to grow again. Germany could be spared a winter recession, as in October-December 2022 GDP stagnated compared to the previous quarter, according to preliminary results from the Federal Statistical Office. The federal government also does not expect a recession in its next annual economic report.

Some growth is expected

As Reuters news agency has learned from people familiar with the matter, the government now expects growth of 0.2 percent this year, after a drop of 0.4 percent in October. Federal Economics Minister Robert Habeck will present the new economic forecasts on Wednesday afternoon in Berlin.