In Germany, the consumer climate has continued to improve thanks to positive income expectations, but remains at a low level. After evaluating around 2000 consumer interviews in the first half of March, the GfK market research institute set the index value for April at minus 29.5 points, according to a statement published in Nuremberg on Wednesday. The index value is thus 1.1 points higher than in the previous month. The consumer climate has now risen for the sixth month in a row and has continued to recover from last year’s drastic slump.
However, the momentum of the recovery has recently slowed noticeably. The GfK consumer researchers pointed to a setback in the economic expectations of those surveyed. On the other hand, the consumer climate was supported by a positive development in income expectations.
But Bürkl also referred to the continued high inflation. “The expected loss of purchasing power will prevent a sustained recovery in domestic demand,” said the expert. As a result, private consumption will probably not be able to make a positive contribution to economic development in Germany this year. (dpa)