General information on the economic situation in Germany and worldwide

Wiesbaden 30 April 2012

Wholesale turnover

Destatis: Wholesale turnover in the 1st quarter 2012: +1.7% in real terms on the 1st quarter 2011

According to provisional results of the Federal Statistical Office (Destatis) the turnover achieved by wholesale trade in Germany in the first quarter 2012 increased 3.3% in nominal terms and 1.7% in real terms compared with the first quarter 2011.

In March 2012 turnover in wholesale trade was in nominal terms 0.7% and in real terms 1.9% smaller than that in March 2011.

Press release of Statistisches Bundesamt

Paris 27 April 2012

Insolvency Outlook Q1-2012

Euler Hermes: Global Macroeconomic and Insolvency Outlook Q1-2012

The world economy is unlikely to recapture a buoyant growth pace in 2012. Euler Hermes predicts world GDP growth to decelerate again from 2.9% in 2011 to 2.6% in 2012, before gaining slightly more momentum in 2013 at 3.1%. The outlook remains uneven in 2012.

The global insolvency index is unfortunately on a rebound. The index is expected to rise by 3% in 2012, after a decline of 4% in 2011. This is mainly caused by (Southern) Europe.

The outlook remains fragile; the balance of risks remains heavily weighted towards the downside.

Germany:
After an upturn which has lasted for nearly two years, Germany is currently in a phase of weak growth. Nevertheless, the economy should remain resilient, driven by strong domestic demand and still quite favourable fundamentals. The analysis for 2012 points to a marked slowdown with GDP growth of 0.9% after a plus of 3.1% in the previous year, followed by a stronger increase to 1.7% in 2013.

Euler Hermes expects the downtrend in German corporate insolvencies to continue, albeit much reduced. After the steep decline in insolvency numbers by 5.9% to 30,099 in 2011 a continued decrease of 2% to 29,600 in 2012 is expected, which comes very close to the pre-crisis level of just over 29,000 failures. The losses of receivables registered to rank in insolvency procedures are estimated to rise moderately by 5% to reach an amount of some 21 billion Euro in 2012.

Outlook of Euler Hermes

Munich 26 April 2012

Credit Constraints

ifo: Credit Constraints continue to drop

The Credit Constraint Indicator for German trade and industry fell again this month, reaching a new historical low. Only 19.5% of the companies surveyed reported a restrictive credit policy on the part of banks. This result is once again 0.8 percentage points lower than last month’s figure. Favourable refinancing opportunities continue to represent a pillar of positive economic development in Germany.

In manufacturing credit constraints continued to fall for companies of all sizes. For large companies they fell by 1.7 percentage points to 17.2%. Only 16.5% of medium-sized manufacturers reported restrictive access to bank loans. In the small-firm category credit constraints fell to 20.8%.

In construction credit constraints decreased by 1.6 percentage points to 26%. In trade credit constraints dropped minimally, with 18.6% of traders reporting restrictive access to bank loans.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Munich 20 April 2012

Business Climate Index

ifo: Business Climate Index continues to rise slightly

The Ifo Business Climate Index for industry and trade in Germany rose once more in April. Companies’ assessment of their current business situation improved somewhat on a high level, while their six-month business outlook remained unchanged from last month. The German economy is proving resilient.

The business climate in manufacturing improved again on the previous month. The manufacturers surveyed see both their current business situation and their business outlook as significantly more positive. Manufacturers are increasing their capacity utilization. Their recruitment plans are slightly more conservative than last month.

The business climate developed differently at both levels of trade. While the business climate indicator increased minimally in retailing, it fell slightly in wholesaling. Climate components also developed in opposite directions. Retailers report some deterioration in their business situation and an improvement in their business outlook. A greater number of wholesalers, on the other hand, are satisfied with their current business situation, while their expectations clouded over slightly.

In construction the business climate was bleaker. The constructors surveyed report a slight deterioration in their current business situation. They are also no longer as optimistic about their future business development as last month.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 18 April 2012

Foreign trade with Switzerland

Destatis: Foreign trade with Switzerland in 2011 at record levels for exports and imports

German foreign trade with Switzerland developed very positively in 2011, reaching record levels for both exports and imports. As reported by the Federal Statistical Office (Destatis), German exports to Switzerland climbed by 14.5% to Euro 47.7 billion in 2011, while imports increased by 13.4% to Euro 36.9 billion. Consequently, exports to Switzerland were more dynamic than German exports as a whole (+11.4%). The rise in imports from Switzerland was similar in extent to the increase in total German imports (+13.2%).

Press release of Statistisches Bundesamt

Munich 30 March 2012

Credit Constraint Indicator

ifo: Credit Constraints drop to new low

Credit constraints for German trade and industry fell below last month’s historical low in March. 20.3% of the companies surveyed reported a restrictive credit policy on the part of banks. That figure is 0.8 percentage points lower than in February. The favourable refinancing opportunities enjoyed by banks continue to give companies very good access to loans.

In manufacturing credit constraints fell for companies of all sizes. Credit constraints decreased by a percentage point for both small and medium-sized companies to 21.5% and 17.1% respectively. As far as large companies are concerned, 18.9% reported restrictive access to bank loans.

In the construction sector credit constraints fell by 1.4 percentage points to 27.6%. Credit constraints also dropped by 0.7% in the distributive sector to their current level of 18.8%.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Paris 29 March 2012

Pharmaceutical Industry

Euler Hermes: The global pharmaceutical industry is in better health than its companies

Sector analysis by credit insurer Euler Hermes

In contrast with the global pharmaceutical market, which should grow at a compound annual rate of approximately 4% until 2015, the big pharma groups are seeing an erosion of their once very high profitability.

The margins of big European pharma groups are expected to be 5 points higher than those of their US counterparts in 2012.

Pharmaceutical groups are seeking to adapt to the new market environment, marked by soaring demand for generics and growing opportunities in emerging regions. Generic manufacturers are also benefiting from the mass expiry of patents on blockbuster drugs.

The global pharmaceutical market continues to boast reassuring fundamentals. Estimated to be worth $880 billion in 2011, this market has consistently generated positive annual growth in recent years. [...]

Press release of Euler Hermes

Wiesbaden 27 March 2012

Foreign Trade

Destatis: Import prices in February 2012: +3.5% on February 2011

The index of import prices rose by 3.5% in February 2012 compared to the corresponding month of the preceding year, as reported by the Federal Statistical Office (Destatis). In January 2012 the annual rate of change was +3.7%, in December 2011 it was +3.9%. From January 2012 to February 2012 the index rose by 1.0%.

The index of import prices, excluding crude oil and mineral oil products, was 1.4% above the level of a year earlier (+0.4% on January 2012).

The index of export prices increased by 2.0% in February 2012 compared to the corresponding month of the preceding year. In January 2012 and in December 2011 the annual rate of change was +2.1%, each. From January 2012 to February 2012 the index rose by 0.3%.

Press release of Statistisches Bundesamt

Munich 26 March 2012

Business Climate Index

Ifo Business Climate Index rises slightly

The Ifo Business Climate Index for trade and industry in Germany rose only slightly in March. The improvement in expectations was smaller and the business situation did not show any further improvement. The German economy is losing some of its momentum.

After two successive increases, the business climate deteriorated slightly in manufacturing. Manufacturers view the current business situation somewhat less positively than in the previous month, but assess their business outlook more favourably. They expect positive impulses from export business. Companies still plan to increase their staff numbers, but less strongly than in the previous month.

The business climate indicator rose sharply in retailing. Retailers report a clearly improved business situation and are more optimistic about their six-month outlook. In wholesaling, on the other hand, the business climate clouded over. While expectations deteriorated only minimally, the wholesalers surveyed are clearly less satisfied with their current business situation.

The business climate indicator fell slightly in construction. Constructors report a somewhat more favourable business situation than in the previous month. However, they are less optimistic about their six-month business outlook.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Paris 23 March 2012

Sector Analysis

Euler Hermes: The sectors that can be counted upon in 2012

Analysis by credit insurer Euler Hermes of 16 sectors in 32 countries spanning six regions across the world.

• At the global level, food, pharmaceuticals, automobile manufacturers and chemicals are holding firm despite the economic slowdown.


• In Europe, some sectors are suffering from the slowdown in consumer spending and trade flows, especial retail and air transport.


• Growth is returning to the US, where the automobile sector is recovering at an impressive pace.

After a difficult end to 2011, the start of 2012 looks just as uncertain. In the face of a sharp deceleration in world growth, the outlook remains depressed in most sectors, despite growing disparities between different regions of the world. European companies, especially in the south, will be affected by austerity programmes designed to lower government debt, whereas the economic recovery in the US, already well underway, will provide a supportive backdrop for their expansion. Emerging countries, although hit by the global economic slowdown, will continue to benefit from strong internal demand, particularly in Asia-Pacific and South America.

Some sectors showing resilience, while others suffer
Ludovic Subran, Euler Hermes’ chief economist, observes, “The current situation in Europe is highly specific: this moderate crisis is seriously compromising the activity of the least resilient sectors and providing a few bright opportunities for the least exposed sectors. This is a true catalyst, or rather amplifier, of structural trends”. Turmoil in Europe does not seem to be affecting the momentum of the automotive components or chemicals sectors, whose companies are in strong financial health. The same is true for the aerospace industry, whose order books have never been as full. At a more local level, particularly strong sectors can also be found in some euro-zone countries: in Germany, automobile and semi-conductor manufacturers, and, in France, the agri-food industry, which is performing particularly well.

In the US, Euler Hermes underlines the excellent performance of information technologies, which are benefiting from a high level of research and development in the high-tech industry. Chemicals, automobiles, agri-food and the aerospace industry are also particularly solid sectors that can be expected to grow in 2012. In contrast, construction is set to remain particularly problematic.

Among sectors most affected by the turbulent economic climate, retail will be badly hit by the downturn in household consumption. Likewise, the air transport industry, already hurt by the spike in its biggest cost item, oil, is facing growing competition from low-cost and Gulf-based carriers. It will also suffer from the slowdown in global cargo traffic and weaker demand.

New centres of gravity for certain sectors
Ludovic Subran adds, “Trade routes are developing more outside our continent. Europe needs to seek out sectoral growth opportunities in these regions in 2012”. In effect, while air transport is slowing in the US and in Europe, it is expanding strongly in South America. In Brazil in particular, the aerospace and agri-food industries are also growing rapidly.

In Asia-Pacific, Euler Hermes noted the excellent resilience of IT and telecoms, food, pharmaceuticals and automotives. Along with robust growth in electronics in South Korea, infrastructure building and retail businesses are expanding strongly in China and India.

A few unexpected developments worth noting
In addition to these key trends, Euler Hermes has observed a few trends worth watching in 2012. Aside from the US automotive industry’s faster-than-expected return to profitability, the European pharmaceutical industry is a textbook case, despite its resilience in 2011, with excellent financial results. According to Marc Livinec, sector analyst at Euler Hermes, “Although the leading pharmaceutical groups are still managing to generate remarkable margins of around 22%, the sector’s cards are starting to be reshuffled with the mass expiry of patents and blockbuster drugs and the growing strength of new players in the form of generic manufacturers”.

Conversely, construction is not faring as well as expected six months ago. “Even though the sector is set to grow at an annualised rate of 4% in France between 2000 and 2015, the short-term outlook reflects a delay in the recovery. And government policy measures, such as the densification of construction announced for the middle of the year, will not be very effective,” explains Didier Moizo, sector analyst at Euler Hermes.

Sector overview (PDF)

Wiesbaden 21 March 2012

Water Consumption

Destatis: Enterprises used some 27 billion cubic metres of water in 2010

According to provisional data, enterprises in Germany used some 27 billion cubic metres of water in 2010. As reported by the Federal Statistical Office (Destatis) with a view to World Water Day on 22 March, water use in enterprises thus rose slightly by about 2% compared with 2007.

Press release of Statistisches Bundesamt

Wiesbaden 20 March 2012

Maritime Transport

Destatis: Maritime transport increasing over 7% in 2011

In 2011, freight transhipment in maritime transport rose 7.3% on the previous year. According to provisional data of the Federal Statistical Office (Destatis), 296 million tonnes of freight were transhipped in German sea ports. In 2010, the figure had been 276 million tonnes. Thus maritime transport in 2011 was still almost 8% below the all-time high of 2008. At the time – before the worldwide economic and financial crisis – just under 321 million tonnes had been transhipped.

Press release of Statistisches Bundesamt

Wiesbaden 16 March 2012

Hotel and restaurant industry

Destatis: Turnover in accommodation and food service activities in January 2012 in real terms: +0.8% to January 2011

According to results of the Federal Statistical Office (Destatis), turnover in the German accommodation and food service activities increased in January 2012 by 2.7% in nominal terms and by 0.8% in real terms compared with the corresponding month in the previous year.

Compared with the turnover achieved in December 2011, the turnover in January 2012 was in nominal terms 0.2% and in real terms 0.1% smaller after adjustment for calendar and seasonal effects.

Press release of Statistisches Bundesamt

Wiesbaden 15 March 2012

Manufacturing

Destatis: January 2012: Number of employees in manufacturing increasing by 3.5%

At the end of January 2012, nearly 5.2 million people worked in local units of manufacturing with 50 or more persons employed in Germany. As reported by the Federal Statistical Office (Destatis) on the basis of provisional results, that was about 172,900 persons or 3.5% up than in January 2011. The number of hours worked in January 2012 increased 6.9% from a year earlier, reaching 685 million.

The earnings amounted to Euro 18.5 billion; that was 4.9% more than in January 2011.

Press release of Statistisches Bundesamt

Wiesbaden 12 March 2012

Rail Freight

Destatis: Rail freight transport increasing 5.4% in 2011

As reported by the Federal Statistical Office (Destatis), in 2011 all German railway companies together transported a total of 375.0 million tonnes of goods, which was a plus of 19.3 million tonnes from 2010 (+5.4%). The last year with a higher volume of goods transported was 1992 (379.9 million tonnes). For the average transport distance in 2011 a value of 302 kilometres was registered.

Whereas from January to September 2011 quarterly growth rates between 10.6% and 5.2% were recorded, the volume in the final quarter of 2011 saw a growth of only 0.6%.
The increase was mainly caused by national transport which generated a growth of 15.1 million tonnes from 2010, thus reaching a share of 68.6% of the whole market.

Combined transport (76.7 million tonnes) mainly consisting of containers and swap bodies grew above average by 7.0%. For combined transport the average transport distance per tonne amounted to 519 kilometres.

Press release of Statistisches Bundesamt

Wiesbaden 12 March 2012

Wholesale

Destatis: Wholesale prices in February 2012: +2.6% on February 2011

The index of selling prices in wholesale trade was up 2.6% in February 2012 on February 2011, as reported by the Federal Statistical Office (Destatis). Compared with January 2012, the index of wholesale prices rose by 1.0% in February 2012.

Press release of Statistisches Bundesamt

Wiesbaden 9 March 2012

Foreign Trade

Destatis: German exports in January 2012: +9.3% on January 2011

Germany exported commodities to the value of Euro 85.9 billion and imported commodities to the value of Euro 72.8 billion in January 2012. Hence, as further reported by the Federal Statistical Office (Destatis) on the basis of provisional data, German exports increased by 9.3% and imports by 6.3% in January 2012 on January 2011. Upon calendar and seasonal adjustment, exports increased by 2.3% and imports by 2.4% compared with December 2011.

The foreign trade balance showed a surplus of Euro 13.1 billion in January 2012. In January 2011, the surplus amounted to Euro 10.1 billion. In calendar and seasonally adjusted terms, the foreign trade balance recorded a surplus of Euro 14.2 billion in January 2012.
According to provisional results of the Deutsche Bundesbank, the current account of the balance of payments showed a surplus of Euro 8.0 billion in January 2012, which included the balance of services (– Euro 2.4 billion), factor income net (+ Euro 3.9 billion), current transfers (– Euro 4.3 billion), and supplementary trade items (– Euro 2.4 billion). In January 2011, the German current account showed a surplus of Euro 8.6 billion.

In January 2012, Germany dispatched commodities to the value of Euro 50.9 billion to the Member States of the European Union (EU), while it received commodities to the value of Euro 44.9 billion from those countries. Compared with January 2011, dispatches to the EU countries increased by 5.4% and arrivals from those countries by 7.4%. Commodities to the value of Euro 34.2 billion (+4.6%) were dispatched to the Euro area countries in January 2012, while the value of the commodities received from those countries was Euro 31.4 billion (+7.1%). In January 2012, commodities to the value of Euro 16.7 billion (+7.1%) were dispatched to EU countries not belonging to the Euro area, while the value of the commodities which arrived from those countries was Euro 13.5 billion (+8.2%).

Exports of commodities to countries outside the European Union (third countries) amounted to Euro 35.0 billion in January 2012, while imports from those countries totalled Euro 28.0 billion. Compared with January 2011, exports to third countries increased by 15.4% and imports from those countries by 4.5%.

Press release of Statistisches Bundesamt

Wiesbaden 8 March 2012

Insolvencies

Destatis: 5.9% less business insolvencies in 2011

In 2011, German insolvency courts reported 30,099 business insolvencies. As reported by the Federal Statistical Office (Destatis), that was 5.9% less than in 2010. The number of consumer insolvencies in 2011 was 103,289 cases, which was 5.1% less than in 2010. Together with the insolvencies of other private debtors and of estates, the courts registered a total of 159,418 insolvencies, that was 5.4% less than in 2010.

In December 2011 in all 12,797 insolvencies (–4.9%) were registered, 2,493 of which were enterprise insolvencies (–1.6%). Altogether the courts registered 8,209 consumer insolvencies, which were 5.9% less than in December 2010.

Press release of Statistisches Bundesamt

Wiesbaden 7 March 2012

Air freight rates

Destatis: Prices of air freight transports up 22.9% in 2011

The prices of air freight transports departing from German airports were up 22.9% on an annual average in 2011 compared with a year earlier. One of the reasons was the strong increase in fuel charges.
As also reported by the Federal Statistical Office (Destatis), transport prices in the fourth quarter of 2011 were up 17.7% on the fourth quarter of 2010. However, the prices were almost unchanged on the third quarter of 2011 (+0.5%).

Press release of Statistisches Bundesamt

Wiesbaden 7 March 2012

Service Sector

Destatis: Turnover in the service sector up 3.8% in the 4th quarter of 2011

In the fourth quarter of 2011, the turnover in selected service branches increased by a total 3.8% in nominal terms compared with the fourth quarter of 2010. As further reported by the Federal Statistical Office (Destatis) on the basis of first calculations, turnover rose by 4.2% in transportation and storage. In information and communication it was up 2.9% and in professional, scientific and technical activities 3.9%. The increase was largest for administrative and support service activities (+4.7%). Within that section, employment activities recorded a 6.9% increase.

Press release of Statistisches Bundesamt

Wiesbaden 6 March 2012

Air Traffic

Destatis: Increase of 4.2 million air passengers travelling abroad in 2011

As reported by the Federal Statistical Office (Destatis) on the occasion of the International Tourism Exchange 2010 (ITB) starting on 7 March 2012 in Berlin, the number of air passengers departing to foreign destinations from German airports in 2011 (75.2 million passengers) increased by 5.9% from 2010 representing an increase of 4.2 million travellers.

Growth in 2011 was particularly strong for the number of passengers with European destinations. The largest absolute increases were recorded for Turkey (+583,000), Spain (+510,000) and Italy (+330,000).

In 2011, about 1.0 million passengers travelled to Egypt, which is this year’s partner country of the ITB. That was 29.1% less than a year earlier. However, the decreases slowed down in the course of 2011. Following a dramatic drop by 42.1% in the first quarter of 2011, caused by the political unrest in January and February, the rates of change on the relevant quarter of the previous year were –22.1% in the second, –17.3% in the third, and –13.1% in the fourth quarter of 2011.

The Mediterranean islands (6.5 million travellers) being the most important destinations for air tourism from Germany saw a growth of 4.3%, thus exceeding for the first time the former peak level of 2007 by 20,000 passengers.

Apart from the Mediterranean, the Canary Islands (2.7 million) are the most important destination for air tourism from Germany; an all-time record growth of 16.3% generated an increase of 376,000 travellers compared to 2010. On other continents a more moderate increase (+2.8%) was shown by the Caribbean Islands – one of the most demanded target regions for air tourism from Germany in other continents – with 0.4 million travellers, a value still 45.4% below the peak level of 2000.

Press release of Statistisches Bundesamt

Munich 29 February 2012

Credit Constraint Indicator

ifo: Credit Constraints plunge to low point

Credit constraints for German trade and industry fell again in February. 21.1% of the companies surveyed reported a restrictive credit policy on the part of banks. That is another 1.7 percentage points lower than in January. This brings credit constraints down to the lowest point since the survey began in 2003. Companies in Germany currently enjoy exceptionally good access to bank loans. In the wake of the financial crisis, Germans with savings capital to invest have changed tactics: they are no longer looking abroad, but are now seeking domestic investment opportunities again. This is currently the key driver of German economic growth.

In manufacturing credit constraints fell by 1.4 percentage points to 19.7% for large companies and by 2.1 percentage points to 22.5% for small companies. For medium-sized companies the share of "restrictive" responses remained unchanged at 18.1%.

In construction complaints about restrictive loan granting on the part of banks fell by 3.1 percentage points to 29.0%. In the distributive sectors credit constraints fell by 1.8 percentage points to 19.5%.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 29 February 2012

Foreign Trade

Destatis: Import prices in January 2012: +3.7% on January 2011

The index of import prices rose by 3.7% in January 2012 compared to the corresponding month of the preceding year, as reported by the Federal Statistical Office (Destatis). In December 2011 the annual rate of change was +3.9%, in November 2011 it was +6.0%, respectively. From December 2011 to January 2012 the index rose by 1.3%.

The index of import prices, excluding crude oil and mineral oil products, was 1.6% above the level of a year earlier (+0.7% on December 2011).
The index of export prices increased by 2.1% in January 2012 compared with the corresponding month of the preceding year. In December 2011 the annual rate of change was +2.1% and in November 2011 +2.9%, respectively. From December 2011 to January 2012 the index rose by 0.8%.

Press release of Statistisches Bundesamt

Wiesbaden 28 February 2012

Air-Freight

Destatis: Air-Freight 2011: Loaded goods +8.0%, unloaded goods +1.8%

Compared to 2010 the German air-freight market was characterized by slowing down growth rates: As reported by the Federal Statistical Office (Destatis) of Germany, loaded goods went up by 8.0% and unloaded goods by 1.8% whereas 2010 each of both transport links grew about by a fifth. Transshipments amounted to 4.4 million tons (+5.0%) with a volume of 2.3 million tons of loaded and 2.1 million tons of unloaded freight.

Compared to 2010 the year 2011 saw significantly differing change-rates: On a quarterly basis transhipments went up by 12.9% in the first quarter, by 9.9% in the second and by 1.2% in the third one, whereas the last quarter did not reach the level of the preceding year (–2.4%).

Press release of Statistisches Bundesamt

Wiesbaden 27 February 2012

Crude Oil Import

Destatis: Euro 583 per tonne of imported crude oil: average level of 2011 at all-time high

In 2011, German importers had to pay an average of Euro 583 per tonne of crude oil imported to Germany. As reported by the Federal Statistical Office (Destatis), the previous all-time high reached in 2008 (Euro 506 per tonne) was markedly exceeded. In the course of 2011, the average values for crude oil imports were highest in May (Euro 626 per tonne) and lowest in January (Euro 505 per tonne). In 2010, the price of one tonne of imported crude oil had been an average Euro 435.

Press release of Statistisches Bundesamt

Wiesbaden 24 February 2012

GDP Germany

Destatis: Detailed results on the gross domestic product in the 4th quarter of 2011

The German economy suffered a little setback towards the end of 2011. As already reported by the Federal Statistical Office (Destatis) in its first release of 15 February 2012, provisional results show that the gross domestic product (GDP) decreased by 0.2% – upon price, seasonal and calendar adjustment – in the fourth quarter of 2011 compared with the previous quarter. The result for the entire year of 2011 remained unchanged at +3.0% (calendar-adjusted: +3.1%).

In a quarter-on-quarter comparison (upon price, seasonal and calendar adjustment), positive contributions were made only by capital formation. Especially gross fixed capital formation in construction was markedly higher in the last quarter of 2011 (+1.9%) than in the third quarter of 2011. Gross fixed capital formation in machinery and equipment stagnated at previous quarter’s level. In contrast, household final consumption expenditure was slightly down in a quarter-on-quarter comparison (–0.2%). Government raised its final consumption expenditure by a marginal 0.1%. Total domestic uses had a slightly positive effect on GDP (+0.1 percentage points).

In contrast, foreign trade had a negative impact on German economic growth in the last quarter of 2011. Exports of goods and services were down 0.8% on the third quarter of 2011 (price, seasonally and calendar-adjusted). As the decrease in imports was slightly smaller (–0.3%), the balance of exports and imports had a slightly negative effect on GDP in the reference period (–0.3 percentage points).

The following information refers to the year-on-year comparison:
In a year-on-year comparison, the GDP increased also in the fourth quarter of 2011. The price-adjusted GDP was by 1.5% higher than in the fourth quarter of 2010. In calendar-adjusted terms, the increase was even somewhat larger (+2.0%) because the fourth quarter of 2011 had one working day less than the fourth quarter of 2010. This means that, although GDP growth slightly slowed down towards the end of 2011, the gross domestic product was clearly above previous year’s level in all quarters of the second year following the economic crisis. [...]

Press release of Statistisches Bundesamt

Munich 23 February 2012

Business Climate Index

Ifo Business Climate Indicator continues to rise

The Ifo Business Climate for trade and industry in Germany improved in February. More companies reported a favourable business situation than in January. They expressed greater optimism about their business expectations for the fourth time in succession. The German economy is currently supported by domestic demand.

The business climate continued to brighten slightly in manufacturing. Manufacturers see their business outlook as more favourable for the third month in succession. However, they view the current business situation as somewhat less favourable than in January. The positive impulses expected from export business remained unchanged. Manufacturers are also still planning to increase their staff numbers.

The business climate brightened clearly in retailing and wholesaling. The business situation improved at both levels of trade. Firms in both segments also expressed slightly more confidence about business expectations than in January.

The business climate indicator rose significantly in construction. Constructors report a more favourable business situation than in the previous month and are more optimistic about their six-month business outlook.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 22 February 2012

Building Industry

Destatis: Building industry in 2011: Value of orders received up 4.4% from the previous year

As reported by the Federal Statistical Office (Destatis), the total price-adjusted value of orders received by building construction and civil and underground engineering enterprises in Germany increased 4.4% in 2011. In building construction demand increased 9.3%, in civil and underground engineering it decreased 0.6%.

The average number of employees amounted to 734,000 in the year 2011. That was an increase of 18,000 (+2.6%) compared with 2010.

Press release of Statistisches Bundesamt

Wiesbaden 17 February 2012

Air transport

Destatis: 2011: Increase of 9.3 million passengers at German airports

As reported by the Federal Statistical Office of Germany (Destatis) the number of departing and arriving passengers at German airports amounted to 175.2 million travellers in 2011; with a growth of 5.6% this result reflects an increase of 5.6% from 2010.

Whereas traffic within Germany was characterized by a moderate growth-rate (+1.4%) frontier crossing services (150.9 million passengers) saw an increase of 6.3%. Traffic with European countries which covers more than three quarters of international in- and outbound traffic grew by 8.4.

Intercontinental traffic (33.7 million) went slightly down (–0.4%) mainly caused by traffic with Africa (–16.6%) where double-digit plunges were reported for Tunisia (–35.3%) and Egypt (–28.1%). On the other hand passenger flows with America and Asia grew by 4.4 respectively 2.5%.

Press release of Statistisches Bundesamt

Wiesbaden 17 February 2012

Producer prices

Destatis: Producer prices January 2012: +3.4% on January 2011

In January 2012 the index of producer prices for industrial products rose by 3.4% from the corresponding month of the preceding year. In December 2011 the annual rate of change had been +4.0%.

Compared with the preceding month, the index rose by 0.6% in January 2012 (–0.4% in December 2011).

Press release of Statistisches Bundesamt

Munich 16 February 2012

World Economic Climate

ifo: World Economic Climate brightens slightly

The Ifo World Economic Climate Indicator showed a slight upturn in the first quarter of 2012 after two successive decreases, but remains significantly below its long-term average. The improvement was entirely driven by a slightly more optimistic six-month outlook. Appraisals of the current situation, on the other hand, were poorer than in last quarter’s survey. The survey results confirm that the situation of the world economy remains difficult.

The economic climate in Western Europe changed very little. While the current economic situation deteriorated further compared to the last quarter of 2011, the six-month outlook brightened slightly, but nevertheless continued to signal scepticism. The economic climate in Asia points to an economic slowdown. Significantly poorer appraisals of the current situation pushed the climate indicator further below its long-term average. Positive signs, however, came from North America, and especially from the USA, where a clear improvement was seen, especially in the current economic situation. The economic six-month outlook is also noticeably more positive than it was three months ago.

Inflation estimates for 2012 decreased clearly, dropping to a global average of 3.5%, after last year’s figure of 4.0%. WES experts expect short-term interest rates to remain unchanged and/or to decrease slightly over the next six-months.

According to WES experts, the yen in particular is over-valued. They expect the global average dollar exchange rate to rise slightly over the next six months.

Hans-Werner Sinn, President of the Ifo Institute

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 15 February 2012

GDP Germany

Destatis: Gross domestic product slightly down in the 4th quarter of 2011

The German economy suffered a slight dip at the end of 2011: compared with the previous quarter, the gross domestic product (GDP) decreased by 0.2% in the fourth quarter of 2011 after adjustment for price, seasonal and calendar variations. As further reported by the Federal Statistical Office (Destatis), the German economy grew by 3.0% (in calendar-adjusted terms: 3.1%) over the entire year of 2011. This is in line with the first calculation of January this year.

When compared with a year earlier, the gross domestic product also rose in the fourth quarter of 2011: the price-adjusted GDP was 1.5% higher than in the fourth quarter of 2010. Consequently, despite the slowdown in GDP growth at the end of 2011, the gross domestic product was clearly above the previous year’s level in all quarters of 2011 also in the second year after the economic crisis.

In a quarter-on-quarter comparison (adjusted for price, seasonal and calendar variations), the only positive contribution came from capital formation, according to provisional calculations. In particular, capital formation in construction was markedly higher than in the third quarter of 2011. In contrast, foreign trade had a negative impact on economic growth in the last quarter of 2011. In the quarter-on-quarter comparison, final consumption expenditure, too, showed a slight decrease.

The statistical carry-over effect of 2011 is 0.2%. That is the growth rate which would be obtained for 2012 if the seasonally and calendar-adjusted GDP remained at the level of the fourth quarter of 2011 for the entire year of 2012.

The economic performance in the fourth quarter of 2011 was achieved by 41.6 million persons in employment, which was an increase of 560,000 persons or 1.4% on a year earlier.

In addition to the first calculation of data for the fourth quarter of 2011, the Federal Statistical Office revised the GDP results published so far for the first three quarters of 2011 and for the year 2011 and corrected them where required.

The Federal Statistical Office will release more detailed results on 24 February 2012.

Press release of Statistisches Bundesamt

Wiesbaden 14 February 2012

Manufacturing

Destatis: December 2011: Number of employees in manufacturing increasing by 3.6%

At the end of December 2011, nearly 5.2 million people worked in local units of manufacturing with 50 or more persons employed in Germany. As reported by the Federal Statistical Office (Destatis) on the basis of provisional results, that was about 177,600 persons or 3.6% up than in December 2010. The number of hours worked in December 2011 increased 1.7% from a year earlier, reaching 611 million.

The earnings amounted to Euro 18.9 billion; that was 4.9% more than in December 2010.

Press release of Statistisches Bundesamt

Wiesbaden 13 February 2012

Wholesale

Destatis: Wholesale prices in January 2012: +3.0% on January 2011

The index of selling prices in wholesale trade was up 3.0% in January 2012 on January 2011, as reported by the Federal Statistical Office (Destatis). Compared with December 2011, the index of wholesale prices rose by 1.2% in January 2012.

Press release of Statistisches Bundesamt

Wiesbaden 10 February 2012

Consumer prices

Destatis: Consumer prices in January 2012: +2.1% on January 2011

In January 2012 the consumer prices in Germany were up 2.1% on January 2011. As reported by the Federal Statistical Office (Destatis), the inflation rate as measured by the consumer price index thus remained slightly above 2% (December 2011: also +2.1%). Compared with December 2011, the consumer price index markedly decreased by 0.4%. The estimate for January 2012 compared with the previous year has slightly been corrected upwards from +2.0% to +2.1%. The month-on-month result has been confirmed.

In January 2012 the rate of inflation was again mainly determined by the rise in energy prices, which exceeded the level of a year earlier by a total 7.2% (of which motor fuels: +6.4%; household energy: +7.7%). As regards household energy, the year-on-year price increase was sharpest for heating oil (+17.2%). The prices of other household energy types, too, were much higher than a year earlier (for example, charges for central and remote heating: +11.3%; gas: +6.7%; electricity: +3.0%). Not considering the energy price development, the inflation rate in January 2012 would have been +1.5%.

Prices of food and non-alcoholic beverages increased by 3.0% compared with January 2011 (of which non-alcoholic beverages: +5.5%; food: +2.7%). The marked price rise for non-alcoholic beverages is due to higher prices of coffee (+17.7%) and fruit juices (+4.3%). As regards food, prices were up especially for oils and fats (+12.3%; including margarine: +24.2%). Consumers had to pay markedly more than a year earlier also for meat (+5.6%) and fish (+4.5%). In contrast, vegetables cost considerably less than a year earlier (−9.5%; including potatoes: −23.7%).

The prices of consumer goods with a medium-term life in January 2012 were up 2.0% on a year earlier (for example clothing: +2.7%). The prices of durable consumer goods rose just slightly by 0.3% over the same period. For some of those product groups, prices even decreased (for example major electric household appliances: −0.9%; information processing equipment: −10.4%).

Prices of services rose 1.2% on a year earlier. The main factor here was again the development of net rents exclusive of heating expenses (+1.3%). Prices were also up for air tickets (+14.0%) and package holidays (+2.5%). In contrast, prices decreased for communication (−2.0%) and education (−12.2%), the latter being mainly due to the abolishment of tuition fees in Nordrhein-Westfalen in October 2011. [...]

Press release of Statistisches Bundesamt

Munich 9 February 2012

Euro Area: Ifo Indicator

Euro Area: Ifo indicator stabilises at low level

The Ifo Economic Climate Indicator for the euro area rose slightly in the first quarter of 2012 after two successive decreases, but nevertheless remains significantly below its long-term average. Appraisals of the current economic situation continued to deteriorate. The only positive trend was seen in the six-month outlook, which brightened somewhat compared to the fourth quarter of 2011. It is too early to speak of any general recovery in the euro area.

The overall current economic situation is assessed as “good” in just two countries: Germany and Estonia, while in Finland and Slovakia it is deemed “satisfactory”. In most other euro countries the current economic situation deteriorated further compared to last quarter’s survey. It is now assessed as unfavourable and/or weak in countries like Austria, the Netherlands, Belgium, Ireland, France and Italy, for example. In Greece, Portugal and Spain, now joined by Cyprus, survey participants gave the current economic situation the worst appraisals on the WES scale.

The economic six-month outlook in the euro area improved again slightly compared to the last quarter of 2011, but nevertheless remains predominantly negative. Ireland, Luxembourg and Slovenia were the only countries for which positive expectations were reported.

Inflation estimates dropped in almost all euro area countries. An annual price increase rate of 2.3% is expected for the euro area in 2012. In view of subdued economic and inflation expectations, WES experts expect monetary policy to ease over the next six months and the US dollar to strengthen against the euro.

Hans-Werner Sinn
President of the Ifo Institute

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 9 February 2012

Insolvency

Destatis: 4.4% less business insolvencies in November 2011

In November 2011, German insolvency courts reported 2,389 business insolvencies. As reported by the Federal Statistical Office (Destatis), that was 4.4% less than in November 2010. The number of consumer insolvencies in November 2011 was 8,673 cases, which was 10.4% less than in November 2010. Together with the insolvencies of other private debtors and of estates, the courts registered a total of 13,185 insolvencies, that was 9.5% less than in November 2010.

From January to November 2011 in all 146,621 insolvencies (–5.4%) were registered, 27,606 of which were enterprise insolvencies (–6.3%). Altogether the courts registered 95,080 consumer insolvencies, which were 5.0% less than in same months one year earlier.

Press release of Statistisches Bundesamt

Wiesbaden 8 February 2012

Export & Import

Destatis: German exports in 2011: +11.4% on 2010

Exports and imports reaching record values

Germany exported commodities to the value of Euro 1,060.1 billion and imported commodities to the value of Euro 902.0 billion in 2011. Hence, as further reported by the Federal Statistical Office (Destatis) on the basis of provisional data, German exports increased by 11.4% and imports by 13.2% in 2011 on 2010. In 2011, the value of German exports for the first time exceeded a trillion Euros. Imports, too, exceeded by far the previous maximum of Euro 805.8 billion (reached in 2008).

The foreign trade balance showed a surplus of Euro 158.1 billion in 2011. In 2010, the surplus amounted to Euro 154.9 billion.

According to provisional results of the Deutsche Bundesbank, the current account of the balance of payments showed a surplus of Euro 135.9 billion in 2011, which included the balance of services (–Euro 7.8 billion), factor income net (+Euro 40.9 billion), current transfers (–Euro 35.6 billion), and supplementary trade items (–Euro 19.7 billion). In 2010, the German current account showed a surplus of Euro 141.5 billion.

In 2011, Germany dispatched commodities to the value of Euro 627.3 billion to the Member States of the European Union (EU), while it received commodities to the value of Euro 572.6 billion from those countries. Compared with 2010, dispatches to the EU countries increased by 9.9% and arrivals from those countries by 13.8%. Commodities to the value of Euro 420.9 billion (+8.6%) were dispatched to the Euro area countries in 2011, while the value of the commodities received from those countries was Euro 401.5 billion (+12.9%). In 2011, commodities to the value of Euro 206.4 billion (+12.6%) were dispatched to EU countries not belonging to the Euro area, while the value of the commodities which arrived from those countries was Euro 171.1 billion (+16.1%).

Exports of commodities to countries outside the European Union (third countries) amounted to Euro 432.8 billion in 2011, while imports from those countries totalled Euro 329.4 billion. Compared with 2010, exports to third countries increased by 13.6% and imports from those countries by 12.0%.

In December 2011, Germany exported commodities to the value of Euro 85.1 billion (+5.0% on December 2010) and imported commodities to the value of Euro 72.1 billion (+5.4%).

Upon calendar and seasonal adjustment, exports decreased by 4.3% and imports by 3.9% on November 2011. In calendar and seasonally adjusted terms, the foreign trade balance recorded a surplus of Euro 13.9 billion in December 2011.

Press release of Statistisches Bundesamt

Wiesbaden 8 February 2012

Manufacturing

Destatis: Turnover in manufacturing in December 2011 –2.2% seasonal adjusted on November 2011

As reported by the Federal Statistical Office (Destatis) on the basis of provisional data, the manufacturing sector saw turnover fell in real terms adjusted for seasonal fluctuations and working-day variations 2.2% in December 2011 compared with November 2011 (following a revised –1.4% in November 2011). Domestic turnover decreased by 2.1%, the business with foreign customers fell 2.4%. Sales to euro area countries were 4.2% below preceding month’s level, while sales to other countries went down 1.0%.

Compared with the preceding year, real turnover in manufacturing showed a total decrease of 0.5% in December 2011 after having been adjusted for working-day variations. Growth rates only were observed in domestic sales (+3.2%) business with foreign customers declined (–4.2%). Among foreign transactions, sales to euro area countries decreased by 4.3%, turnover with other foreign countries also declined 1.3%.
For the year 2011 the (working-day adjusted) turnover in manufacturing was 7.2% above the level of the previous year; domestic turnover rose 6.9% and foreign turnover by a total of 7.6%.

Press release of Statistisches Bundesamt

Wiesbaden 2 February 2012

Goods transport

Destatis: Goods transport in 2011: volume of transport increasing 6.5%

Goods transport in Germany increased markedly in 2011. According to provisional results of the Federal Statistical Office (Destatis), the volume of transport in 2011 is expected to have risen 6.5% on the previous year, reaching 4.3 billion tonnes. That has been the largest year-on-year increase since 1994 (+7.5% on 1993). Road, rail, sea and air transport contributed to growth, whereas losses were recorded for inland water transport and crude oil transport via pipelines.

Press release of Statistisches Bundesamt

Paris 31 January 2012

Aircraft industry

Euler Hermes: Aircraft industry takes off while air transport remains grounded

Aircraft industry posts robust order books despite the global economic slowdown.

Airline margins badly squeezed by rising fuel costs in 2011.

The air transport sector will continue to deteriorate in 2012, mainly for European airlines.

2011 was a record year for aircraft manufacturers, as much in terms of units produced as in terms of orders, which doubled relative to 2010. Growth in the sector is being driven by the strong expansion of Asian and Middle East airlines, which are developing fast and increasing their capacity in order to gain market share.

In contrast, airlines were faced with rising fuel prices in 2011, which eroded their margins. Moreover, the global economic slowdown will affect air traffic, which is forecast to grow by only 3% in 2012.

Some good years ahead for aircraft manufacturers

In 2011, the aircraft industry for the first time broke through the symbolic 1,000 unit mark, with 1,011 aircraft delivered, corresponding to an annual increase of 4%. At the same time, net orders doubled to 2,224 aircraft. While 2011 was an excellent year at commercial level, the momentum was also due to the arrival on the market of aircraft that consume up to 15% less fuel and produce less CO2.

“The aircraft industry is enjoying exceptionally robust growth. It is the first time in thirty years that an economic slowdown has not been accompanied by a fall in production”, says Ludovic Subran, Chief Economist at Euler Hermes. “Thanks to the momentum of Asian, Middle-East and low-cost airlines, aircraft manufacturers saw their order books substantially strengthened in 2011, ensuring solid production for the next seven or eight years.” Euler Hermes forecasts a 12% increase in deliveries of commercial aircraft in 2012. [...]

Press release of Euler Hermes

Munich 31 January 2012

Credit Constraint Indicator

ifo: Credit Constraints remain low

The credit constraints for German trade and industry fell slightly in January. 22.8% of the companies surveyed reported a restrictive credit policy on the part of banks. This result is 0.3 percentage points lower than in December. The German economy continues to enjoy very favourable financing conditions.

In manufacturing the credit constraints for large and medium-sized companies decreased markedly. Reports of restrictive credit constraints fell by 2.2 percentage points to 21.1% at large companies, and by 2.1 percentage points to 18.1% at medium-sized companies. Only small companies reported slight difficulties obtaining credit, with the number of “restrictive” responses increasing by 0.3 percentage points to 24.6%.

In construction credit constraints fell by 0.2 percentage points to 32.1%. In the distributive sectors, on the other hand, credit constraints rose slightly again, and now stand at 21.3%, 1.0 percentage points higher than in December.

Hans-Werner Sinn
President of the Ifo Institute

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 31 January 2012

Retail

Destatis: Retail turnover in Germany in December 2011: –0.9% in real terms on December 2010

According to provisional results of the Federal Statistical Office (Destatis), retail turnover in December 2011 in Germany increased 0.5% in nominal terms and decreased 0.9% in real terms compared with the corresponding month of the previous year. The number of days open for sale was 26 in December 2011 and 26 in December 2010, too.

When adjusted for calendar and seasonal variations (CENSUS-X-12-ARIMA), the December turnover was in nominal terms 1.7% and in real terms 1.4% smaller than that in November 2011.

Compared with the previous year, turnover in retail trade was in the whole year 2011 in nominal terms 2.6% and in real terms 0.9% larger.

Press release of Statistisches Bundesamt

Wiesbaden 30 January 2012

Wholesale

Destatis: Wholesale turnover in the 4th quarter 2011: +1.6% in real terms on the 4th quarter 2010

According to provisional results of the Federal Statistical Office (Destatis) the turnover achieved by wholesale trade in Germany in the 4th quarter 2011 increased 4.1% in nominal terms and 1.6% in real terms compared with the 4th quarter 2010.

In December 2011 turnover in wholesale trade was in nominal terms 3.2% and in real terms 1.9% larger than that in December 2010.

Compared with 2010, turnover in wholesale trade increased 8.2% in nominal terms and 2.5% in real terms in the whole year 2011.

Press release of Statistisches Bundesamt

Wiesbaden 27 January 2012

Foreign Trade

Destatis: Import prices in 2011: +8.0% on 2010

The index of import prices rose by 8.0% on an annual average in 2011 compared with 2010. This was the highest price increase since 2000 (+10.2% compared with 1999), as reported by the Federal Statistical Office (Destatis). In December 2011, it rose by 3.9% compared with the corresponding month of the preceding year. In November and in October 2011 the annual rates of change were +6.0% and +6.8%, respectively. From November to December 2011 the index rose by 0.3%.

The index of import prices, excluding crude oil and mineral oil products, was on an annual average 5.1% above the level of a year earlier (+2.1% compared to December 2010 and +0.3% in comparison with November 2011).

The index of export prices increased 3.7% on an annual average in 2011 from the previous year. In December 2011, it was up 2.1% compared with the corresponding month of the preceding year. In November and in October 2011 the annual rates of change were +2.9% and +3.0%, respectively. From November to December 2011 the index rose by 0.1%.

Press release of Statistisches Bundesamt

Munich 25 January 2012

Business Climate Index

ifo: Business Climate continues to rise

The Ifo Business Climate for trade and industry in Germany improved for the third time in succession in January. Although companies assess the current business situation as less favourable than in December, their business expectations have brightened considerably. The German economy has started the year positively.

The business climate improved in manufacturing. Manufacturers see their current business situation as slightly improved and their business outlook as clearly more favourable than in the previous month. Export expectations and personnel planning are also somewhat more positive once again. Capacity utilization in manufacturing is currently slightly lower than in autumn 2011. However, use of equipment and machinery remains above average.

In retailing the business climate index fell. The business situation here is no longer as favourable as it was in December. Moreover, retailers are more sceptical about their short-term business outlook. In wholesaling the business climate deteriorated slightly. The wholesalers surveyed continue to assess their current business situation as very positive, but less favourable than last month. Their business expectations are once again slightly more confident.

The business climate in construction improved for the third month in succession. The current business situation, however, is no longer as favourable as in the previous month. The constructors surveyed are nevertheless significantly more confident about their six-month business outlook.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 24 January 2012

Building Industry

Destatis: Building industry in November 2011: Value of orders received up 12.5% from the previous year

As reported by the Federal Statistical Office (Destatis), the total price-adjusted value of orders received by building construction and civil and underground engineering enterprises in Germany increased 12.5% in November 2011 from the same month of the previous year. In building construction demand increased 19.0%, in civil and underground engineering it increased 5.1%.

The number of employees amounted to 745,000 at the end of November 2011. That was an increase of 16,000 (+2.2%) compared with November 2010.

Press release of Statistisches Bundesamt

Wiesbaden 17 January 2012

Food Service

Destatis: Turnover in accommodation and food service activities in November 2011 in real terms: +0.8% to November 2010

According to results of the Federal Statistical Office (Destatis), turnover in the German accommodation and food service activities increased in November 2011 by 2.8% in nominal terms and by 0.8% in real terms compared with the corresponding month in the previous year.

Compared with the turnover achieved in October 2011, the turnover in November 2011 was in nominal terms 0.5% and in real terms 0.4% larger after adjustment for calendar and seasonal effects (Berlin method 4.1 – BV 4.1).

Compared with the first eleven months of the previous year, turnover in the German accommodation and food service activities increased by 3.8% in nominal terms and by 2.3% in real terms in the first eleven months of 2011.

Press release of Statistisches Bundesamt

Wiesbaden 16 January 2012

Wholesale

Destatis: Wholesale prices in 2011: +7.5% on 2010

The index of selling prices in wholesale trade was up 7.5% on an annual average in 2011 from the preceding year, as reported by the Federal Statistical Office (Destatis). This was the highest year-on-year-rate since 1981 (+7.7% compared to 1980).

Compared with December 2010, the index increased by 3.0% in December 2011. In November 2011 the annual rate of change was +4.9% and in October 2011 it was +5.0%, respectively.

Press release of Statistisches Bundesamt

Wiesbaden 12 January 2012

Inflation rate

Destatis: Inflation rate down for the third consecutive month at the end of the year

Consumer prices in Germany rose by 2.3% on an annual average in 2011 compared with 2010. As reported by the Federal Statistical Office (Destatis), the year-on-year rate of price increase thus was markedly higher than in the previous two years (2010: +1.1%; 2009: +0.4%). A higher annual average rate of price increase was last observed in 2008 (+2.6% on 2007). Both on an annual average and for the individual months, inflation rates of 2% and over were calculated for 2011.

The marked increase in the year-on-year rate of price increase in 2011 was mainly due to energy prices. The price of energy altogether rose considerably by 10.0% in 2011 (of which motor fuels: +11.0%; household energy: +9.5%). As regards household energy, marked price increases were observed for central and remote heating (+8.0%), electricity (+7.3%) and gas (+4.6%) in addition to the sharp price rise for heating oil (+24.5%). Not considering energy prices, the year-on-year rate of price increase was 1.3%.

Above-average price increases were also recorded for food and non-alcoholic beverages (+2.8%; of which food: +2.5%; non-alcoholic beverages: +6.1%). Price rises noticeable for consumers occurred especially for oils and fats (+12.6%; including butter: +14.2%) as well as coffee, tea and cocoa (+10.2%; including coffee: +17.6%). Marked price increases were also recorded for meat (+2.8%) and many dairy products (for example, cream: +10.7%; curd: +7.0%). Vegetable prices, however, were down from 2010 to 2011 (−3.9%).

As regards goods in general, prices were up 3.3% on 2010. Above-average price increases were observed for non-durable consumer goods (+4.7%), while prices were slightly down for durable consumer goods (−0.1%; including information processing equipment: −9.2%).
Prices of services in general rose moderately (+1.3%) in 2011 (including net rent exclusive of heating expenses: +1.2%; but communication: −2.7%). What should be mentioned here is the price development for air tickets: they were considerably up in 2011 (+13.4%) especially as a result of the air transportation tax charged since the beginning of the year. Due to the small share in the overall budget of households, however, that had hardly any effect on the year-on-year inflation rate of 2011 for total consumer prices. [...]

Press release of Statistisches Bundesamt

Wiesbaden 11 January 2012

German Economy

Destatis: German economy in a very robust condition in 2011

The German economy again grew strongly in 2011. The price-adjusted gross domestic product (GDP) increased by 3.0% compared with the previous year. This is shown by first calculations of the Federal Statistical Office (Destatis). Accordingly, the catching-up process of the German economy continued during the second year after the economic crisis. In the course of 2011, the price-adjusted GDP again exceeded its pre-crisis level. The economic recovery occurred mainly in the first half of 2011. In 2009, Germany experienced the most serious post-war recession, when GDP suffered a historic decline of 5.1%. The year 2010 was characterised by a rapid economic recovery (+3.7%). [...]

Press release of Statistisches Bundesamt

Wiesbaden 10 January 2012

Insolvencies

Destatis: 4.8% less business insolvencies in October 2011

In October 2011, German insolvency courts reported 2,363 business insolvencies. As reported by the Federal Statistical Office (Destatis), that was 4.8% less than in October 2010. The number of consumer insolvencies in October 2011 was 7,838 cases, which was 9.8% less than in October 2010. Together with the insolvencies of other private debtors and of estates, the courts registered a total of 12,152 insolvencies, that was 9.1% less than in October 2010.
From January to October 2011 in all 133,436 insolvencies (–5.0%) were registered, 25,217 of which were enterprise insolvencies (–6.5%). Altogether the courts registered 86,407 consumer insolvencies, which were 4.4% less than in same months one year earlier.

Press release of Statistisches Bundesamt

Wiesbaden 10 January 2012

Manufacturing

Destatis: Turnover in manufacturing in November 2011 –1.1% seasonal adjusted on October 2011

As reported by the Federal Statistical Office (Destatis) on the basis of provisional data, the manufacturing sector saw turnover fall in real terms adjusted for seasonal fluctuations and working-day variations 1.1% in November 2011 compared with October 2011 (following a revised +0.7% in October 2011). Domestic turnover decreased by 1.5%, the business with foreign customers fall 0.6%. Sales to euro area countries were 0.1% below preceding month’s level, while sales to other countries went down 1.0%.
Compared with the preceding year, real turnover in manufacturing showed a total increase of 2.0% in November 2011 after having been adjusted for working-day variations. Growth rates were observed in domestic sales (+2.6%) as well as from business with foreign customers (+1.3%). Among foreign transactions, sales to euro area countries increased by 1.3%, turnover with other foreign countries ascended also 1.3%.

Press release of Statistisches Bundesamt

Wiesbaden 9 January 2012

Foreign Trade

Destatis: German exports in November 2011: +8.3% on November 2010

Germany exported commodities to the value of Euro 94.9 billion and imported commodities to the value of Euro 78.7 billion in November 2011. As further reported by the Federal Statistical Office (Destatis) on the basis of provisional data, German exports increased by 8.3% and imports by 6.7% in November 2011 on November 2010. Upon calendar and seasonal adjustment, exports and imports showed opposite month-on-month developments: while exports increased by 2.5% on October 2011, imports decreased by 0.4%.
The foreign trade balance showed a surplus of Euro 16.2 billion in November 2011. In November 2010, the surplus had amounted to Euro 13.9 billion. In calendar and seasonally adjusted terms, the foreign trade balance recorded a surplus of Euro 15.1 billion in November 2011.
According to provisional results of the Deutsche Bundesbank, the current account of the balance of payments showed a surplus of Euro 14.3 billion in November 2011, which included the balance of services (– Euro 0.1 billion), factor income net (+ Euro 4.1 billion), current transfers (– Euro 3.6 billion), and supplementary trade items (– Euro 2.3 billion). In November 2010, the German current account had shown a surplus of Euro 14.4 billion.
In November 2011, Germany dispatched commodities to the value of Euro 56.0 billion to the Member States of the European Union (EU), while it received commodities to the value of Euro 50.6 billion from those countries. Compared with November 2010, dispatches to the EU countries increased by 8.4% and arrivals from those countries by 10.6%. Commodities to the value of Euro 37.7 billion (+7.7%) were dispatched to the Euro area countries in November 2011, while the value of the commodities received from those countries was Euro 35.1 billion (+8.8%). In November 2011, commodities to the value of Euro 18.3 billion (+9.8%) were dispatched to EU countries not belonging to the Euro area, while the value of the commodities which arrived from those countries was Euro 15.5 billion (+15.1%).
Exports of commodities to countries outside the European Union (third countries) amounted to Euro 38.9 billion in November 2011, while imports from those countries totalled Euro 28.0 billion. Compared with November 2010, exports to third countries increased by 8.2% and imports from those countries by 0.2%.

Press release of Statistisches Bundesamt

Munich 23 December 2011

ifo: Credit Constraints Indicator

Ifo: Credit Constraints rise slightly

The credit constraints for German trade and industry increased slightly in December, but remain at a very low level. 23.1% of the companies surveyed reported a restrictive credit policy on the part of banks. This result is just 0.7 percentage points higher than in November. Although the banking problem in Europe has become more critical, German companies remain able to obtain bank loans on good conditions. The German economy continues to benefit from more stringent risk selection on the part of the financial markets.

In manufacturing the credit constraints for companies of all sizes have increased. At large companies constraints increased by 2.3 percentage points to 23.3%, at medium-sized companies they increased by 0.8 percentage points to 20.2% and at small companies they rose by 1.7 percentage points to 24.3%.

In distribution credit constraints also increased slightly. Complaints regarding the credit policies adopted by banks rose by 0.3% to 20.3%. In construction on the other hand, the number of “restrictive” responses fell. Here credit constraints are now 0.7 percentage points lower than in November at 32.3%.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Munich 20 December 2011

Ifo Business Climate Index

Ifo: Business Climate Brightens

The Ifo Business Climate for trade and industry in Germany continued to improve in December after stabilising in the previous month. Survey participants’ responses showed that their assessment of the current business situation continues to remain favourable. Business expectations improved for the second time in succession. The German economy seems to be successfully countering the downturn in Western Europe. This bodes well for Christmas.

In manufacturing the business climate remains unchanged. Manufacturing firms may assess their current business situation as slightly less positive than in November, but there is no question of a meltdown comparable to that of 2008. On the contrary, the German economy is showing signs of stabilisation. Firms even view their six-month business outlook more favourably. They also see greater opportunities in the export business. The overhang of firms wishing to increase their staff numbers has nevertheless fallen slightly.

The business climate index increased somewhat in wholesaling and clearly in retailing. The business situation is assessed more positively than previously at both levels of trade. In addition, retailers and wholesalers are more optimistic. This suggests brisk Christmas trade.

The business climate continued to improve further in construction. The firms surveyed reported a slightly more favourable business situation than in November. Moreover, they expressed greater optimism regarding their six-month business outlook.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 16 December 2011

Hotel and Restaurant Industry

Destatis: Turnover in accommodation and food service activities in October 2011 in real terms: –0.5% to October 2010

According to results of the Federal Statistical Office (Destatis), turnover in the German accommodation and food service activities increased in October 2011 by 1.6% in nominal terms and decreased by 0.5% in real terms compared with the corresponding month in the previous year.
Compared with the turnover achieved in September 2011, the turnover in October 2011 was in nominal terms 0.1% larger and in real terms equal to that (0.0%) after adjustment for calendar and seasonal effects (Berlin method 4.1 – BV 4.1).
Compared with the first ten months of the previous year, turnover in the German accommodation and food service activities increased by 3.6% in nominal terms and by 2.1% in real terms in the first ten months of 2011.

Press release of Statistisches Bundesamt

Wiesbaden 15 December 2011

Start-Ups

Destatis: 3.8% less start-ups of larger businesses from January to September 2011

As reported by the Federal Statistical Office (Destatis), some 110,000 businesses were founded from January to September 2011, whose legal form and number of employees suggest some economic importance. That was 3.8% less than in the same period of the previous year.

In the same period of 2011, some 225,000 small businesses were founded. Hence, the number of start-ups of small businesses decreased 5.5% on the same period a year earlier.

Press release of Statistisches Bundesamt

Munich 14 December 2011

Economic Forecast 2011/2012

Ifo: Economic Forecast 2011/2012: Debt Crisis Curbs German Economy

Gross domestic product in Germany increased significantly until recently. The Ifo Business Climate Index and other leading indicators show, however, that the German economy is facing a downturn. The weakening world economy and the European debt crisis are the main factors behind this. The dependency of economic developments on the decisions made by Europe's politicians complicates the forecast considerably by making radically different plausible scenarios possible. Based on the assumption that the euro crisis does not worsen and that Italy in particular can continue to finance itself via the capital market, it should be possible to avoid a recession in Germany. Germany's GDP is nevertheless only expected to increase by 0.4% in 2012. Growth in employment is therefore expected to slow significantly. Supported by demographic factors, however, the number of unemployed should still decrease by around 140,000. [...]

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 14 December 2011

Climate Protection Goods

Destatis: 2009: Turnover with climate protection goods amounting to Euro 27.3 billion

The establishments of the industry and service sectors in Germany achieved a turnover of about Euro 44.6 billion in 2009 with goods for environmental protection. As further reported by the Federal Statistical Office (Destatis), goods, construction operations and services for climate protection accounted for over 60% (Euro 27.3 billion) of that turnover.

Press release of Statistisches Bundesamt

Wiesbaden 12 December 2011

Wholesale

Destatis: Wholesale prices in November 2011: +4.9% on November 2010

The index of selling prices in wholesale trade was up 4.9% in November 2011 on November 2010, as reported by the Federal Statistical Office (Destatis). Compared with October 2011, the index of wholesale prices rose by 0.7% in November 2011.

Press release of Statistisches Bundesamt

Wiesbaden 12 December 2011

Environmental protection

Destatis: Environmental protection investments in industry amounting to Euro 5.6 billion in 2009

In 2009, enterprises in industry invested Euro 5.6 billion in tangible fixed assets for environmental protection. As reported by the Federal Statistical Office (Destatis), environmental protection investments thus were down 6.9% on 2008. As, however, total investments decreased even more strongly in 2009 as a result of the economic crisis, the proportion of environmental protection investments in total investments rose from 7.9% to 8.8% over the same period.

Press release of Statistisches Bundesamt

Wiesbaden 9 December 2011

Foreign Trade

Destatis: German exports in October 2011: +3.8% on October 2010

Germany exported commodities to the value of Euro 89.2 billion and imported commodities to the value of Euro 77.6 billion in October 2011. As further reported by the Federal Statistical Office (Destatis) on the basis of provisional data, German exports increased by 3.8% and imports by 8.6% in October 2011 on October 2010. Upon calendar and seasonal adjustment, exports decreased by 3.6% and imports by 1.0% compared with September 2011.

The foreign trade balance showed a surplus of Euro 11.6 billion in October 2011. In October 2010, the surplus amounted to Euro 14.5 billion. In calendar and seasonally adjusted terms, the foreign trade balance recorded a surplus of Euro 12.6 billion in October 2011.

According to provisional results of the Deutsche Bundesbank, the current account of the balance of payments showed a surplus of Euro 10.3 billion in October 2011, which included the balance of services (– Euro 0.5 billion), factor income net (+ Euro 4.5 billion), current transfers (– Euro 3.6 billion), and supplementary trade items (– Euro 1.7 billion). In October 2010, the German current account showed a surplus of Euro 14.2 billion.

In October 2011, Germany dispatched commodities to the value of Euro 52.4 billion to the Member States of the European Union (EU), while it received commodities to the value of Euro 49.2 billion from those countries. Compared with October 2010, dispatches to the EU countries increased by 0.8% and arrivals from those countries by 7.3%. Commodities to the value of Euro 34.8 billion (–0.4%) were dispatched to the Euro area countries in October 2011, while the value of the commodities received from those countries was Euro 33.8 billion (+6.1%). In October 2011, commodities to the value of Euro 17.7 billion (+3.1%) were dispatched to EU countries not belonging to the Euro area, while the value of the commodities which arrived from those countries was Euro 15.4 billion (+10.2%).

Exports of commodities to countries outside the European Union (third countries) amounted to Euro 36.8 billion in October 2011, while imports from those countries totalled Euro 28.5 billion. Compared with October 2010, exports to third countries increased by 8.3% and imports from those countries by 10.9%.

Press release of Statistisches Bundesamt

Wiesbaden 9 December 2011

Crafts Sector

Destatis: 5.7% more turnover in the crafts sector in the third quarter of 2011

The turnover in crafts with compulsory approval was up 5.7% in the third quarter of 2011 compared to the third quarter of 2010. As the Federal Statistical Office (Destatis) further reports, the number of persons employed by crafts entrepreneurs was up 0.2% at the end of September 2011 compared to the level a year earlier.

Press release of Statistisches Bundesamt

Paris 8 December 2011

Automobile Sector

Euler Hermes: Is the automobile market set to stall?

The world automobile market recovered its average annual growth rate of 4% to 5% in 2011 and is expected to remain on a positive trend in 2012, although growth will slow.

Emerging market demand, which drove growth in the automobile sector in 2009-2010, slowed in 2011 and will continue to do so in 2012.

In industrialised countries, the market remains far below its level prior to the 2008-2009 crisis, particularly in Europe where there is still significant overcapacity.

The main challenges facing carmakers are to adapt their offer to emerging markets and to develop industrial partnerships in the areas of innovation and production.

The automobile sector suffered its worst crisis ever in 2008-2009, when production plummeted by 15.5% to 61.8 million vehicles. Faced with the freefall of 2009, many countries introduced car scrapping schemes and other car sales incentives, leading to a strong 26% market rebound in 2010. “The world market returned to cruising speed this year with annual growth of 5% in 2011, i.e. close to 82 million vehicles produced,” says Wilfried Verstraete, Chairman of Euler Hermes’ Group Management Board. “In emerging countries automobile demand appears to be running out of steam which partly explains our forecast of a stabilisation in growth at 5% for 2012.” [...]

Press release of Euler Hermes (PDF)

Presentation charts (PDF)

Wiesbaden 8 December 2011

Inland water transport

Destatis: Inland water transport in 2010: Increase of turnover: +4,1%

As reported by the Federal Statistical Office (Destatis), 970 enterprises resident in Germany were engaged in inland water transport in mid 2010. These enterprises had 2,513 inland water crafts for the carriage of passengers and goods (–3.5% to 2009), and employed 7,292 (–2.4%) persons in this field of activity. The enterprises engaged in inland water transport achieved in 2010 a turnover of Euro 1.3 billion (+4.1%).

Press release of Statistisches Bundesamt

Wiesbaden 8 December 2011

Manufacturing Sector

Destatis: Turnover in manufacturing in October 2011 +0.5% seasonal adjusted on September 2011

As reported by the Federal Statistical Office (Destatis) on the basis of provisional data, the manufacturing sector saw turnover rise in real terms adjusted for seasonal fluctuations and working-day variations 0.5% in October 2011 compared with September 2011 (following a revised –2.8% in September 2011). Domestic turnover increased by 0.5%, the business with foreign customers rise 0.7%. Sales to euro area countries were 0.7% below preceding month’s level, while sales to other countries went up 1.9%.

Compared with the preceding year, real turnover in manufacturing showed a total increase of 3.5% in October 2011 after having been adjusted for working-day variations. Growth rates were observed in domestic sales (+4.0%) as well as from business with foreign customers (+3.0%). Among foreign transactions, sales to euro area countries increased by 1.6%, while turnover with other foreign countries ascended 4.1%.

When cumulated from January to October 2011 the (working-day adjusted) turnover in manufacturing was 8.6% above the level of the same period of the previous year; domestic turnover rose 7.8% and foreign turnover by a total of 9.6%.

Press release of Statistisches Bundesamt

Wiesbaden 7 December 2011

Insolvencies

Destatis: January to September 2011: 6.7% less business insolvencies

In the months from January to September 2011, the German insolvency courts reported 22,854 business insolvencies. As reported by the Federal Statistical Office (Destatis), that was 6.7% less than in the same period of the previous year. The number of consumer insolvencies in the period from January to September 2011 was 78,569 cases, which was 3.8% less than a year earlier. Together with the insolvencies of other private debtors and of estates, the courts registered a total of 121,284 insolvencies, that was 4.6% less than in the months from January to September 2010.

Press release of Statistisches Bundesamt

Wiesbaden 7 December 2011

Service Sector

Destatis: Turnover in the service sector in the 3rd quarter of 2011: +6.3% on a year earlier

In the third quarter of 2011, the turnover in selected service branches increased by a total 6.3% in nominal terms compared with the third quarter of 2010. As further reported by the Federal Statistical Office (Destatis), turnover rose by 3.9% in transportation and storage and by 7.3% in information and communication. In professional, scientific and technical activities, it was up 7.2%. The increase was largest for administrative and support service activities (+8.2%). In that section, the highest turnover increases were observed for the division of employment activities (+10.2%) and the division of security and investigation activities (+9.6%).

Press release of Statistisches Bundesamt

Wiesbaden 5 December 2011

Climate Protection

Destatis: Enterprises taking account of climate protection when using information technology

63% of the enterprises with 10 or more employees in Germany take measures to improve the energy efficiency and to protect the climate when using information technology (IT). This is reported by the Federal Statistical Office (Destatis) on the occasion of the “Sixth National IT Summit” to take place in Munich on 6 December 2011. Those results are based on the survey on the use of information and communication technology (ICT) in enterprises, the reference period being January 2011.

Press release of Statistisches Bundesamt

Wiesbaden 2 December 2011

Air Freight Transports

Destatis: Slightly declining prices of air freight transports in the 3rd quarter of 2011

After a continuous increase in the previous eight quarters, the prices of air freight transports departing from German airports declined slightly for the first time in the third quarter of 2011. Compared with the second quarter of 2011, they decreased by 0.9%. As also reported by the Federal Statistical Office (Destatis), the relevant prices were up 23.0% in the third quarter of 2011 on the same quarter a year earlier.

Press release of Statistisches Bundesamt

Wiesbaden 1 December 2011

Foreign Trade

Destatis: Foreign trade in the third quarter of 2011: exports up 10.1%

In the third quarter of 2011, German total exports rose by 10.1% to Euro 266.2 billion compared with the same quarter a year earlier. As reported by the Federal Statistical Office (Destatis), they increased by 5.9% in price-adjusted terms.

Dispatches to the Member States of the European Union (EU) rose by a nominal 9.9% to Euro 155.1 billion, with this increase being slightly below average. Two thirds of those dispatches, i.e. dispatches amounting to Euro 102.9 billion, went to Euro area countries. This was an increase of 9.0% from the same period a year ago. Dispatches to EU countries not belonging to the Euro area rose by 11.7% to Euro 52.1 billion.

Press release of Statistisches Bundesamt

Wiesbaden 30 November 2011

Retail Turnover

Destatis: Retail turnover in Germany in October 2011: –0.4% in real terms to October 2010

According to provisional results of the Federal Statistical Office (Destatis), retail turnover in October 2011 in Germany increased 1.6% in nominal terms and decreased 0.4% in real terms compared with the corresponding month in the previous year. The number of days open for sale was 25 in October 2011 and 26 in October 2010.

When adjusted for calendar and seasonal variations (CENSUS X-12-ARIMA), the October turnover was in nominal terms 1.0% and in real terms 0.7% larger than that in September 2011.

Compared with the previous year, turnover in retail trade was in the first ten months of 2011 in nominal terms 2.7% and in real terms 1.1% larger.

Press release of Statistisches Bundesamt

Munich 29 November 2011

Credit Hurdle

ifo: Weaker Credit Constraints

The credit hurdle for German industry and trade fell slightly in November after having risen two months in succession. The share of companies complaining of restrictive bank lending policies has decreased by 0.7 percentage points to 22.4%. The stress situation in some banks is currently having no serious effects on the supply of credit to companies in Germany. The German capital market is still profiting from investors’ desire to seek a safe haven in a time of crisis.

In manufacturing, the credit constraint for large firms continued to increase very slightly. However, difficult access to credit was reported slightly less often by medium-sized companies and significantly less frequently by small businesses. Among large enterprises, the credit hurdle has risen by 0.5 percentage points to 21.0%. For medium-sized companies, however, it fell by 0.2 percentage points to 19.4% and for small businesses by 3.8 percentage points to 22.6%.

The credit constraint for the distributive trade has weakened, decreasing by 1.1 percentage points to 20.0%. In construction, however, the credit hurdle is again higher, having risen by 1.0 percentage points to 33.0%.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 29 November 2011

Rail Transport

Destatis: Rail transport: Increase of 7.1% from January to September 2011

In the first three quarters of 2011, goods with a total weight of 283.0 million tonnes were transported on German railway lines. As further reported by the Federal Statistical Office (Destatis), that is a 7.1% increase from the corresponding period of the previous year. This means that the value for the first nine months of the pre-crisis level of 2008 was nearly reached (–0.4%). In the course of the first three quarters of 2011, however, the increase has slowed down: While the year-on-year growth in the first three months amounted to 10.6%, the volume from April to June rose just 5.8% and from July to September only by 5.2%.

Go to press release of Federal Office of Statistics

Wiesbaden 28 November 2011

Investments

Destatis: Industry investing about Euro 46.9 billion in tangible fixed assets in 2010

German industrial enterprises with 20 or more persons employed invested about Euro 46.9 billion in tangible fixed assets in 2010. As reported by the Federal Statistical Office (Destatis), that was a slight increase of 0.4% on 2009 (+ Euro 185 million). This result also reflects the effects of the economic crisis. In 2009, investments declined sharply by 22.1% on a year earlier.

Go to press release of Federal Office of Statistics

Wiesbaden 25 November 2011

Import

Destatis: Import prices in October 2011: +6.8% on October 2010

The index of import prices rose by 6.8% in October 2011 compared to the corresponding month of the preceding year, as reported by the Federal Statistical Office (Destatis). In September 2011 the annual rate of change was +6.9%, in August 2011 it was +6.6%, respectively. From September 2011 to October 2011 the index fell by 0.3%.

The index of import prices, excluding crude oil and mineral oil products, was 3.8% above the level of a year earlier (no change compared to September 2011).

The index of export prices increased by 3.0% in October 2011 compared with the corresponding month of the preceding year. In September2011 the annual rate of change was +2.9% and in August 2011 +3.2%, respectively. From September 2011 to October 2011 the index fell by 0.2%.

Go to press release of Federal Office of Statistics

Munich 24 November 2011

Ifo Business Climate Index

ifo Business Climate Index rises slightly

The Ifo Business Climate for industry and trade in Germany improved somewhat in November for the first time in four months. The slight increase is due to somewhat less sceptical business expectations. The current business situation, according to the survey responses, remains positive. The German economy is still performing relatively well despite the international turmoil.

In manufacturing the business climate index fell slightly. The satisfaction of the manufacturers with their current business situation has declined again, but the business situation remains favourable. With regard to future business prospects, the firms are again somewhat more sceptical. They anticipate hardly any further stimulus from exports. Staff expansion will continue at a cautious pace.

In retailing the business climate index has yielded some ground. The current business situation, according to the company responses, is somewhat better than last month, but retailers’ business expectations are more cautious. In wholesaling the business climate has improved following a sharp cooling in the previous month. With regard to their business prospects, the survey participants are not as sceptical as in October. The current business situation has been assessed somewhat less positively.

In construction the business climate index has risen, after having fallen three months in succession. Both the assessments of current business and the outlook of the surveyed contractors are again somewhat more favourable than in October.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 24 November 2011

Gross Domestic Product

Destatis: Detailed results on the gross domestic product in the 3rd quarter of 2011

The German economy continues its growth trend. As reported by the Federal Statistical Office (Destatis) already in its first release of 15 November 2011, provisional results show that the gross domestic product (GDP) rose 0.5% – upon price, seasonal and calendar adjustment – in the third quarter of 2011 compared with the second quarter. Also, the result for the second quarter of 2011 has been corrected upwards to +0.3%. The upswing of the German economy thus continued in the course of 2011, following the strong growth at the beginning of the year (+1.3% in the first quarter), with the growth rate slightly increasing in the reference quarter compared with the previous quarter.

In a quarter-on-quarter comparison (adjusted for price, seasonal and calendar variations), positive contributions were made mainly by domestic demand. Figures were up on the previous quarter in particular for final consumption expenditure, but also for capital formation. In the third quarter of 2011, both households (+0.8%) and general government (+0.6%) spent markedly more on consumption than in the second quarter. Also, capital formation in machinery and equipment (comprising in particular machinery, equipment and vehicles) was markedly up (+2.9%) in the period from July to September compared with the second quarter of 2011. Only capital formation in construction decreased slightly in the reference quarter (–0.7%), one of the reasons however being the strong growth observed at the beginning of the year, part of which had been due to weather conditions.

Foreign trade continued its expansion in the third quarter of 2011. However, as the increase in price, seasonal and calendar adjusted exports of goods and services from the previous quarter (+2.5%) roughly equalled the increase in imports (+2.6%), the impact of the balance of exports and imports on economic growth in the reference quarter was small (contribution to GDP growth of 0.1 percentage points). [...]

Go to press release of Federal Office of Statistics

Wiesbaden 23 November 2011

Building Industry

Destatis: Building industry in September 2011: Value of orders received up 0.7% from the previous year

As reported by the Federal Statistical Office (Destatis), the total price-adjusted value of orders received by building construction and civil and underground engineering enterprises in Germany increased 0.7% in September 2011 from the same month of the previous year. In building construction it increased 4.4%, in civil and underground engineering demand decreased 2.9%.

The number of employees amounted to 733,000 at the end of September 2011. That was a decrease of 5,600 (–0.8%) compared with September 2010.

Go to press release of Federal Office of Statistics

Hamburg, Paris 18 November 2011

Green Economy

Euler Hermes analysis green economy

- It is possible both to achieve growth and reduce carbon emissions, even during an economic slowdown.

- Some sectors, namely construction, transport, chemicals and cement, have major potential for developing the green economy.

- Growth of the green economy does not depend solely on regulations and public stimulus which should nonetheless be more constant and more selective.

Going counter to the generally accepted idea that economic growth must go hand in hand with increased carbon emissions, Euler Hermes has identified four promising sectors where the green economy offers medium and long-term growth prospects to companies that are prepared to invest in new technology and rethink their mainly costs-based strategies.

Press release of Euler Hermes

Wiesbaden 18 November 2011

Producer Prices

Destatis: Producer prices October 2011: +5.3% on October 2010

As reported by the Federal Statistical Office (Destatis), the index of producer prices for industrial products (domestic sales) for Germany rose by 5.3% in October 2011 from the corresponding month of the preceding year. In September the annual rate of change was +5.5%.
Compared with the preceding month the index rose by 0.2% in October 2011 (+0.3% in September 2011).

Go to press release of Federal Office of Statistics

Munich 16 November 2011

Ifo World Economic Climate

ifo: World Economic Climate deteriorates further

The Ifo World Economic Climate has worsened in the fourth quarter. The index is now significantly below its long-term average. The deterioration was due to less favourable assessments of the current situation and even more so to the expectations for the next six months. The results confirm the difficult situation of the world economy.

The economic climate in North America has continued to worsen. The current economic situation was increasingly assessed as unfavourable. The expectations for the next six months are less confident than in the third quarter but remain in positive territory. In Asia, the economic climate indicator has fallen further and is now also below its long-term average. The expectations for the next six months have deteriorated even more than the situation component. In Western Europe, the economic climate has worsened; mainly because of the significantly more negative outlook.

The inflation estimate for all of 2011 remains at 4.0% on a global average. The majority of WES experts expect unchanged interest rates over the course of the next six months.

In the opinion of the WES experts, the euro is overvalued and the yen somewhat more so. On a world-wide average, the exchange rate of the US dollar is expected to remain largely stable during the next six months.

Worldwide, “lack of confidence in the economic policies of their own country” is seen as the currently most important economic problem. In second and third place in the list of problems are “public budget deficits” and “unemployment”. The problem of “Inflation” fell worldwide from the second to the sixth place on the list.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 15 November 2011

GDP Germany

Destatis: Gross domestic product in 3rd quarter of 2011: upswing continues

The German economy continues its growth: In the third quarter of 2011, the gross domestic product (GDP) rose 0.5% – upon price, seasonal and calendar adjustment – on the second quarter. In addition, the result for the second quarter of 2011 has been corrected upwards to +0.3%, as reported by the Federal Statistical Office (Destatis). This means that, following the strong growth at the beginning of the year (+1.3% in the first quarter), the upswing of the German economy continued in the course of 2011, with the growth rate slightly increasing in the reference quarter compared with the previous quarter.

In a year-on-year comparison, too, the GDP grew strongly, although not as strongly as in the first half of the year: In the third quarter of 2011, the price-adjusted GDP was up 2.5% on a year earlier (calendar-adjusted: +2.6%).

In a quarter-on-quarter comparison (upon price, seasonal and calendar adjustment), positive contributions were made mainly by domestic uses: The main factor contributing to GDP growth here was the increase in final consumption expenditure of households. Also, capital formation in machinery and equipment was up, whereas capital formation in construction decreased slightly, following a strong growth at the beginning of the year. Foreign trade continued its expansion. However, as the increase in exports of goods and services roughly equalled the increase in imports, the impact of the balance of exports and imports – upon price, seasonal and calendar adjustment – on economic growth in the third quarter of 2011 was hardly measurable.

According to first provisional calculations, the economic performance in the third quarter of 2011 was achieved by about 41.2 million persons in employment in the domestic territory, which was an increase of 495,000 persons or 1.2% on a year earlier.

In the context of the first calculation of data for the third quarter of 2011, the results published so far for the first two quarters of 2011 were revised, too. The rates of change of the price-adjusted GDP in the second quarter were corrected upwards by 0.2 percentage points each, that is, to +3.0% in a year-on-year comparison and to +0.3% in a seasonally and calendar-adjusted quarter-on-quarter comparison.

Go to press release of Federal Office of Statistics

Wiesbaden 14 November 2011

Manufacturing

Destatis: September 2011: Number of employees in manufacturing increasing by 3.6%

At the end of September 2011, nearly 5.2 million people worked in local units of manufacturing with 50 or more persons employed in Germany. As reported by the Federal Statistical Office (Destatis) on the basis of provisional results, that was about 178,200 persons or 3.6% up than in September 2010. The number of hours worked in September 2011 increased 3.5% from a year earlier, reaching 691 million.

The earnings amounted to Euro 17.7 billion; that was 6.3% more than in September 2010.

Go to press release of Federal Office of Statistics

Wiesbaden 10 November 2011

Wholesale

Destatis: Wholesale prices in October 2011: +5.0% on October 2010

The index of selling prices in wholesale trade was up 5.0% in October 2011 on October 2010, as reported by the Federal Statistical Office (Destatis). Compared with September 2011, the index of wholesale prices fell by 1.0% in October 2011.

Go to press release of Federal Office of Statistics

Wiesbaden 8 November 2011

Insolvency

Destatis: 2.9% less business insolvencies in August 2011

As reported by the Federal Statistical Office (Destatis), in August 2011, German insolvency courts reported 13,846 insolvencies; 2,583 of them referred to enterprises and 9,061 to consumers. The total number of insolvencies decreased 3.7% compared with August 2010, enterprise insolvencies decreased 2.9% and insolvencies of consumers decreased 5.1%.

From January to August 2011 in all 107,517 insolvencies (–5.1%) were registered, 20,334 of which were enterprise insolvencies (–7.1%). Altogether the courts registered 69,495 consumer insolvencies, which were 4.5% less than in same months one year earlier.

Go to press release of Federal Office of Statistics

Wiesbaden 8 November 2011

Export

Destatis: German exports im September 2011: +10.5% on September 2010

Germany exported commodities to the value of Euro 95.0 billion and imported commodities to the value of Euro 77.6 billion in September 2011. As further reported by the Federal Statistical Office (Destatis) on the basis of provisional data, German exports increased by 10.5% and imports by 11.6% in September 2011 on September 2010.
Upon calendar and seasonal adjustment, exports and imports showed diverging trends compared with the preceding month: while exports rose by 0.9% on August 2011, imports fell by 0.8%.

The foreign trade balance showed a surplus of Euro 17.4 billion in September 2011. In September 2010, the surplus amounted to Euro 16.5 billion. In calendar and seasonally adjusted terms, the foreign trade balance recorded a surplus of Euro 15.3 billion in September 2011.

According to provisional results of the Deutsche Bundesbank, the current account of the balance of payments showed a surplus of Euro 15.7 billion in September 2011, which included the balance of services (– Euro 0.1 billion), factor income net (+ Euro 4.5 billion), current transfers (– Euro 3.4 billion), and supplementary trade items (– Euro 2.7 billion). In September 2010, the German current account showed a surplus of Euro 15.1 billion.

In September 2011, Germany dispatched commodities to the value of Euro 56.6 billion to the Member States of the European Union (EU), while it received commodities to the value of Euro 50.1 billion from those countries. Compared with September 2010, dispatches to the EU countries increased by 10.8% and arrivals from those countries by 13.8%. Commodities to the value of Euro 38.0 billion (+11.5%) were dispatched to the Euro area countries in September 2011, while the value of the commodities received from those countries was Euro 34.7 billion (+13.0%). In September 2011, commodities to the value of Euro 18.6 billion (+9.5%) were dispatched to EU countries not belonging to the Euro area, while the value of the commodities which arrived from those countries was Euro 15.4 billion (+15.6%).

Exports of commodities to countries outside the European Union (third countries) amounted to Euro 38.4 billion in September 2011, while imports from those countries totalled Euro 27.5 billion. Compared with September 2010, exports to third countries increased by 10.1% and imports from those countries by 7.9%.

Go to press release of Federal Office of Statistics

Wiesbaden 8 November 2011

Manufacturing

Destatis: Turnover in manufacturing in September 2011 –2.8%seasonal adjusted on August 2011

As reported by the Federal Statistical Office (Destatis) on the basis of provisional data, the manufacturing sector saw turnover fall in real terms adjusted for seasonal fluctuations and working-day variations 2.8% in September 2011 compared with August 2011 (following a revised –0.4% in August 2011). Domestic turnover decreased by 1.8%, the business with foreign customers declined 3.9%. Sales to euro area countries were 1.9% below preceding month’s level, while sales to other countries went down by 5.3%.

Compared with the preceding year, real turnover in manufacturing showed a total increase of 6.3% in September 2011 after having been adjusted for working-day variations. Increases were observed in domestic sales (+6.5%), while turnover from business with foreign customers rose by 6.2%. Among foreign transactions, sales to euro area countries increased by 5.4%, while turnover with other foreign countries ascended 6.8%.

When cumulated from January to September 2011 the (working-day adjusted) turnover in manufacturing was 9.2% above the level of the same period of the previous year; domestic turnover rose 8.1% and foreign turnover by a total of 10.5%.

Go to press release of Federal Office of Statistics

Wiesbaden 2 November 2011

Employment

Destatis: September 2011: employment reaching again record high

The positive trend on the labour market in Germany continued in September 2011. As reported by the Federal Statistical Office (Destatis), the number of persons in employment living in Germany reached another record high (about 41.31 million). The number of unemployed amounted to some 2.22 million in September 2011. That was a decline of about 524,000 on September 2010.

According to provisional results of employment accounts, the number of persons in employment rose by 464,000 or 1.1% in September 2011 on the same month a year earlier. After the summer break and the beginning of the new training year, the number of persons in employment was up by 269,000 or 0.7% in September 2011 on August 2011, which was largely attributable to seasonal effects. Upon seasonal adjustment, that is, after elimination of the usual seasonal fluctuations, the increase amounts to 9,000 persons.

In addition to the first calculation of the number of persons in employment for the reference month of September 2011, the monthly employment results published so far were recalculated back to January 2011. To this end, all additionally available sources of employment statistics were evaluated. The recalculation produced year-on-year rates of change which, at the level of the overall economy, are no more than 0.1 percentage points lower than the previous calculation results.

According to results of the labour force survey, unemployment in September 2011 was down 11.2% on August 2011. The number of unemployed declined by 275,000 to 2.22 million. When adjusted for seasonal and irregular effects (trend cycle component), the number of unemployed declined by 28,000 to 2.44 million in September 2011 from August 2011 (-1.1%). Compared with September 2010, the number of unemployed people was down by 524,000, which was a decline of 19%.

The adjusted unemployment rate amounted to 5.8% in September 2011, which was a decrease of 0.1 percentage points on the previous month. Compared with September 2010, it was down by 1.0 percentage points.

Go to press release of Federal Office of Statistics

Wiesbaden 31 October 2011

Wholesale

Destatis: Wholesale turnover in the 3rd quarter 2011: +2.5% in real terms on the 3rd quarter 2010

According to provisional results of the Federal Statistical Office (Destatis) the turnover achieved by wholesale trade in Germany in the 3rd quarter 2011 increased 7.7% in nominal terms and 2.5% in real terms compared with the 3rd quarter 2010.

In September 2011 wholesale trade increased 6.4% in nominal terms and 2.2% in real terms compared with the corresponding month of the previous year.

Compared with the previous year, turnover in wholesale trade increased 9.6% in nominal terms and 2.7% in real terms in the first nine months of 2011.

Press release of Statistisches Bundesamt

Wiesbaden 31 October 2011

Retail

Destatis: Retail turnover in Germany in September 2011: +0.3% in real terms to September 2010

According to provisional results of the Federal Statistical Office (Destatis), retail turnover in September 2011 in Germany increased 2.2% in nominal terms and 0.3% in real terms compared with the corresponding month in the previous year. The number of days open for sale was 26 in September 2011 and 26 in September 2010, too.

When adjusted for calendar and seasonal variations (CENSUS-X-12-ARIMA), the September turnover was in nominal terms 1.0% and in real terms 0.4% larger than that in August 2011.

Compared with the previous year, turnover in retail trade was in the first nine months of 2011 in nominal terms 2.7% and in real terms 1.2% larger.

Press release of Statistisches Bundesamt

Paris, Hamburg 27 October 2011

Economy Crisis

Euler Hermes: Lasting crisis casts doubts on muted-recovery scenario for 2012

In a turbulent economic environment, Euler Hermes is forecasting a slowdown in world growth over the next 18 months. The credit insurer has revised downwards its June forecast. It is now forecasting growth of 3% in 2011 (0.3% lower than its June forecast) and of 3.2% in 2012, down by 0.4%), following growth of 4.3% in 2010. Growth in world trade will drop back to around 7% in 2011 and 2012 compared with 14% during the 2010 recovery.

The recovery is running out of steam in the euro zone and the United States. GDP growth is expected to stand at 1.6% in 2011 both in the euro zone and the United States. In 2012, growth is forecast at 1.3% for the euro zone and 2.0% for the United States. The emerging economies will enjoy stronger growth in 2012, with 4% in Latin America, 3.5% in Central Europe and 7.1% in Asia excluding Japan.

Among the countries ‘driving’ world growth, India and China stand out in particular with growth forecast at 8.5% in 2012. Growth in Brazil is expected to reach 3.5% in 2011 and 3.7% in 2012. However, for the emerging countries as a whole, which currently account for 38% of world GDP, growth is slowing (under 6% in 2011 versus 7% in 2010).

In Europe, however, some advance indicators seem vulnerable to hesitation on the decisions that should be taken to deal with a double crisis, that of the banks and of sovereign debt. This increases the likelihood of a worse scenario for 2012. [...]

Press release of Euler Hermes

Munich 27 October 2011

Credit Hurdle

ifo: Credit constraints again stronger

The credit hurdle for German industry and trade rose in October for the second month in a row. It increased by 0.8 percentage points, so that now 23.0% of the surveyed companies complain about restrictive bank lending. The credit constraint is still at a relatively low level, but it already seems to have bottomed out. Companies are likely to focus more now on the problem of obtaining credit.

In manufacturing the credit hurdle for small companies has risen significantly – by 2.8 percentage points to 26.4%. In the medium-sized companies, it has risen by 0.5 percentage points to 19.5%. In contrast, among the large companies fewer respondents (0.3 percentage points) complained of bank lending policies. The credit constraint indicator here is now at 20.5%.

In construction, the credit constraints in October were 2.5 percentage points higher than last month, now standing at 31.9%. Virtually unchanged, however, is the credit constraint indicator in the distribution sector. Here it has increased only by 0.1 percentage points to 21.1%.

Hans-Werner Sinn
President of the Ifo Institute

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 26 October 2011

Foreign Trade

Destatis: Import prices in September 2011: +6.9% on September 2010

The index of import prices rose by 6.9% in September 2011 compared to the corresponding month of the preceding year,as reported by the Federal Statistical Office (Destatis). In August 2011 the annual rate of change was +6.6%, in July 2011 it was +7.5%, respectively. From August 2011 to September 2011 the index rose by 0.6%.

The index of import prices, excluding crude oil and mineral oil products, was 3.6% above the level of a year earlier (no change compared to August 2011).

The index of export prices increased by 2.9% in September 2011 compared with the corresponding month of the preceding year. In August2011 the annual rate of change was +3.2% and in July 2011 +3.7%, respectively. From August 2011 to September 2011 the index did not change.

Press release of Statistisches Bundesamt

Wiesbaden 25 October 2011

Building Industry

Destatis: Building industry in August 2011: Value of orders received up 3.7% from the previous year

As reported by the Federal Statistical Office (Destatis), the total price-adjusted value of orders received by building construction and civil and underground engineering enterprises in Germany increased 3.7% in August 2011 from the same month of the previous year. In building construction demand increased 3.0%, in civil and underground engineering it increased 4.4%.

The number of employees amounted to 734,000 at the end of August 2011. That was a decrease of 2,900 (–0.4%) compared with August 2010.

Press release of Statistisches Bundesamt

Munich 21 October 2011

Ifo Business Climate Index

ifo: Business Climate still confronting headwinds

The Ifo Business Climate for industry and trade in Germany cooled further in October. The business situation of the firms is not quite as excellent as in the past few months. Regarding business in the coming half year, the companies are more sceptical than before. Given the international turmoil, the German economy is still performing well.

In manufacturing the business climate index has declined slightly. The business situation has weakened somewhat but is still assessed as favourable. Regarding future business development, the companies remain sceptical but somewhat less so than in the previous month. Firms’ export expectations have even improved somewhat. Although capacity utilisation is significantly lower than in summer, in personnel plans the expansive trend continues.

In retailing the business climate index has fallen slightly. The current business situation for retailers is somewhat less favourable than last month. With regard to business expectations for the coming half year, the firms remain cautious. The business climate in wholesaling has cooled significantly. Although the survey participants have assessed their business situation predominantly as favourable, they do not regard it quite as positively as in September. Their business expectations are noticeably more pessimistic than previously.

In construction the business climate has again deteriorated, but assessments of the current business situation remain very good. The business expectations, however, point to a clear cooling.

Hans-Werner Sinn
President of the Ifo Institute

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 19 October 2011

Inland Waterways Transport

Destatis: 1st half of 2011: goods transported by inland waterway vessels down 1.1%

Goods transport on inland waterways fell by 1.1% in the first six months of 2011 compared with the same period one year earlier. According to provisional results of the Federal Statistical Office (Destatis), 110.2 million tonnes of goods were transported on German inland waterways. In the first half of 2010 it had been 111.4 million tonnes.

Press release of Statistisches Bundesamt

Wiesbaden 12 October 2011

Wholesale

Destatis: Wholesale prices in September 2011: +5.7% on September 2010

The index of selling prices in wholesale trade was up 5.7% in September 2011 on September 2010, as reported by the Federal Statistical Office (Destatis). Compared with August 2011, the index of wholesale prices rose by 0.3% in September 2011.

Press release of Statistisches Bundesamt

Wiesbaden 10 October 2011

Insolvencies

Destatis: 9.3% less business insolvencies in July 2011

As reported by the Federal Statistical Office (Destatis), in July 2011, German insolvency courts reported 13,356 insolvencies; 2,504 of them referred to enterprises and 8,656 to consumers. The total number of insolvencies decreased 7.4% compared with July 2010, enterprise insolvencies decreased 9.3% and insolvencies of consumers decreased 7.4%.

From January to July 2011 in all 93,671 insolvencies (–5.3%) were registered, 17,751 of which were enterprise insolvencies (–7.7%). Altogether the courts registered 60,434 consumer insolvencies, which were 4.4% less than in same months one year earlier.

Press release of Statistisches Bundesamt

Wiesbaden 10 October 2011

Foreign Trade

Destatis: German exports in August 2011: +14.6% on August 2010

Germany exported commodities to the value of Euro 85.3 billion and imported commodities to the value of Euro 73.5 billion in August 2011. As further reported by the Federal Statistical Office (Destatis) on the basis of provisional data, German exports increased by 14.6% and imports by 12.6% in August 2011 on August 2010. Upon calendar and seasonal adjustment, exports rose by 3.5% and imports remained unchanged on July 2011.

The foreign trade balance showed a surplus of Euro 11.8 billion in August 2011. In August 2010, the surplus amounted to Euro 9.2 billion. In calendar and seasonally adjusted terms, the foreign trade balance recorded a surplus of Euro 13.8 billion in August 2011.

According to provisional results of the Deutsche Bundesbank, the current account of the balance of payments showed a surplus of Euro 7.0 billion in August 2011, which included the balance of services (– Euro 4.3 billion), factor income net (+ Euro 4.5 billion), current transfers (– Euro 3.2 billion), and supplementary trade items (– Euro 1.8 billion). In August 2010, the German current account showed a surplus of Euro 5.7 billion.

In August 2011, Germany dispatched commodities to the value of Euro 48.7 billion to the Member States of the European Union (EU), while it received commodities to the value of Euro 44.8 billion from those countries. Compared with August 2010, dispatches to the EU countries increased by 12.7% and arrivals from those countries by 12.4%. Commodities to the value of Euro 31.5 billion (+11.5%) were dispatched to the Euro area countries in August 2011, while the value of the commodities received from those countries was Euro 31.3 billion (+13.0%). In August 2011, commodities to the value of Euro 17.1 billion (+15.1%) were dispatched to EU countries not belonging to the Euro area, while the value of the commodities which arrived from those countries was Euro 13.5 billion (+11.0%).

Exports of commodities to countries outside the European Union (third countries) amounted to Euro 36.6 billion in August 2011, while imports from those countries totalled Euro 28.7 billion. Compared with August 2010, exports to third countries increased by 17.1% and imports from those countries by 12.8%.

Press release of Statistisches Bundesamt

Munich 29 September 2011

Credit Constraints

ifo: Credit Constraints slightly increased

The credit constraints for German industry and trade have increased slightly in September but remain at a very low level. Of the surveyed companies, 22.2% reported a restrictive credit policy of banks, which is 0.8 percentage points greater than in August. The Ifo survey results show that companies in Germany continue to be able to obtain bank loans on good conditions. It looks as if the Credit Constraint Indicator is bottoming out if not turning around.

In manufacturing credit constraints have increased for all company size categories. For large companies, the increase is most evident at 3.8 percentage points. For medium-sized firms the increase was moderate (+0.9 percentage points) and among small firms is was +1.7 percentage points.

In construction and distribution the credit constraints are virtually unchanged. In construction it rose by 0.2 percentage points to 29.4%. In the distribution sector it increased by 0.1 percentage points to 21.0%.

Hans-Werner Sinn
President of the Ifo Institute

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 28 September 2011

Import

Destatis: Import prices in August 2011: +6.6% on August 2010

The index of import prices rose by 6.6% in August 2011 compared to the corresponding month of the preceding year,as reported by the Federal Statistical Office (Destatis). In July 2011 the annual rate of change was +7.5%, in June 2011 it was +6.5%, respectively. From July 2011 to August 2011 the index fell by 0.7%.

The index of import prices, excluding crude oil and mineral oil products, was 3.9% above the level of a year earlier (–0.1% compared to July 2011).

The index of export prices increased by 3.2% in August 2011 compared with the corresponding month of the preceding year. In Julythe annual rate of change was +3.7% and in June 2011 +3.4%, respectively. From July 2011 to August 2011 the index fell by 0.1%.

Press release of Statistisches Bundesamt

Munich 26 September 2010

Ifo Business Climate Index

Ifo Business Climate Index Falls Again

The Ifo Business Climate Index for German industry and trade declined once again in September. The business expectations for the coming half year once more deteriorated markedly. The current business situation, however, was assessed just as positively as in the previous month. The continuing favourable situation of companies shows that the German economy has so far managed to decouple from political turbulence.

In manufacturing the business climate index has again cooled off. The current business conditions are rated as mostly good, but not as favourable as previously. The proportion of firms reporting scepticism regarding their business prospects for the coming half year has increased. They expect no further impulse from their export business. That notwithstanding, they still plan to increase the number of employees.

The business climate improved in both retailing and wholesaling, after markedly losing ground in previous months. Wholesalers rated their current situation more favourably than in August. Their six-month business outlook is also more optimistic. Retailers continue to assess their current business situation as favourable. They also regard their prospects for the coming half-year with renewed optimism.

In construction the business climate deteriorated once more, but due entirely to distinctly lower expectations. The current situation, however, was rated by the polled companies as somewhat more favourable than in the previous month.

Hans-Werner Sinn
President of the Ifo Institute

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 21 September 2011

Building Industry

Destatis: Building industry in July 2011: Value of orders received up 6.1% from the previous year

As reported by the Federal Statistical Office (Destatis), the total price-adjusted value of orders received by building construction and civil and underground engineering enterprises in Germany increased 6.1% in July 2011 from the same month of the previous year. In building construction demand increased 1.0%, in civil and underground engineering it increased 11.0%.

The number of employees amounted to 724,000 at the end of July 2011. That was a decrease of 5,500 (–0.8%) compared with July 2010.

Press release of Statistisches Bundesamt

Wiesbaden, 15 September 2011

Export

Destatis: Foreign trade in the first half of 2011: exports up 14.7%

German exports rose by altogether 14.7% to Euro 525.6 billion from January to June 2011 compared with the same period one year earlier. As the Federal Statistical Office (Destatis) also reports, that was a price-adjusted increase by 10.1%.

Press release of Statistisches Bundesamt

Wiesbaden, 9 September 2011

Wholesale

Destatis: Wholesale prices in August 2011: +6.5% on August 2010

The index of selling prices in wholesale trade was up 6.5% in August 2011 on August 2010, as reported by the Federal Statistical Office (Destatis). Compared with July 2011, the index of wholesale prices rose by 0.1% in August 2011.

Press release of Statistisches Bundesamt

Wiesbaden 8 September 2011

Foreign Trade

Destatis: German exports in July 2011: +4.4% on July 2010

Germany exported commodities to the value of Euro 85.9 billion and imported commodities to the value of Euro 75.4 billion in July 2011. As further reported by the Federal Statistical Office (Destatis) on the basis of provisional data, German exports increased by 4.4% and imports by 9.9% in July 2011 on July 2010. Upon calendar and seasonal adjustment, exports fell by 1.8% and imports by 0.3% compared with June 2011.

The foreign trade balance showed a surplus of Euro 10.4 billion in July 2011. In July 2010, the surplus amounted to Euro 13.6 billion. In calendar and seasonally adjusted terms, the foreign trade balance recorded a surplus of Euro 10.1 billion in July 2011.

According to provisional results of the Deutsche Bundesbank, the current account of the balance of payments showed a surplus of Euro 7.5 billion in July 2011, which included the balance of services (– Euro 2.2 billion), factor income net (+ Euro 4.1 billion), current transfers (– Euro 3.7 billion), and supplementary trade items (– Euro 1.2 billion). In July 2010, the German current account showed a surplus of Euro 10.4 billion.

In July 2011, Germany dispatched commodities to the value of Euro 49.7 billion to the Member States of the European Union (EU), while it received commodities to the value of Euro 46.9 billion from those countries. Compared with July 2010, dispatches to the EU countries increased by 3.9% and arrivals from those countries by 8.6%. Commodities to the value of Euro 33.3 billion (+1.9%) were dispatched to the Euro area countries in July 2011, while the value of the commodities received from those countries was Euro 32.7 billion (+5.5%). In July 2011, commodities to the value of Euro 16.5 billion (+8.2%) were dispatched to EU countries not belonging to the Euro area, while the value of the commodities which arrived from those countries was Euro 14.2 billion (+16.2%).

Exports of commodities to countries outside the European Union (third countries) amounted to Euro 36.1 billion in July 2011, while imports from those countries totalled Euro 28.6 billion. Compared with July 2010, exports to third countries increased by 5.1% and imports from those countries by 12.2%.

Press release of Statistisches Bundesamt

Wiesbaden 7 September 2011

Insolvency

Destatis: 7.4% less business insolvencies in first half of 2011

As reported by the Federal Statistical Office (Destatis), in first half of 2011, German insolvency courts reported 80,315 insolvencies; 15,247 of them referred to enterprises and 51,778 to consumers. The total number of insolvencies decreased 5.0% compared with first half of 2010, enterprise insolvencies decreased 7.4% and insolvencies of consumers decreased 3.9%.

In June 2011 in all 12,839 insolvencies (–10.7%) were registered, 2,520 of which were enterprise insolvencies (–8.4%). Altogether the courts registered 8,176 consumer insolvencies, which were 12.1% less than in June 2010.

Press release of Statistisches Bundesamt

Wiesbaden 6 September 2011

Air freight transports

Destatis: Prices of air freight transports continue upwards in the 2nd quarter of 2011

The prices of air freight transports departing from German airports were up 25.6% in the second quarter of 2011 on the same quarter a year earlier. As the Federal Statistical Office (Destatis) also reports, prices increased by an average 9.9% in the second quarter of 2011 compared with the first quarter of 2011. The trend observed was largely due to the fact that fuel surcharges rose sharply again.

Press release of Statistisches Bundesamt

Wiesbaden 1 September 2011

Gross Domestic Product

Destatis: Detailed results on the gross domestic product in the 2nd quarter of 2011

The momentum with which the German economy started into 2011 has slowed down considerably. As reported by the Federal Statistical Office (Destatis) in its first release of 16 August 2011, provisional results show that the gross domestic product (GDP) rose only 0.1% – upon price, seasonal and calendar adjustment – in the second quarter of 2011 compared with the first quarter.

In a quarter-on-quarter comparison (adjusted for price, seasonal and calendar variations), positive contributions were made by exports again. In the second quarter of 2011, exports of goods and services to foreign countries were up 2.3% compared with the first quarter. Imports, however, rose even more markedly by +3.2% in the same period. The withdrawal of Germany from nuclear energy had a notable effect as there were hardly any exports of electricity anymore and imports had to be increased to meet the demand. In a quarter-on-quarter comparison, the balance of exports and imports had an altogether negative impact on the GDP (–0.3 percentage points). The strong increase of imports, however, also led to a higher building up of inventories (contribution to GDP growth: +0.7 percentage points). Overall, there also was an increase of gross fixed capital formation. Especially investments in machinery and equipment were up against the preceding quarter (+1.7%). In contrast, capital formation in construction fell slightly in the reference quarter (–0.9%). This was not surprising after the extraordinary increase (+7.0%) recorded at the beginning of the year, which was, however, partly due to catch-up effects on account of the weather. In the second quarter of 2011, domestic final consumption expenditure also dampened economic growth in a quarter-on-quarter comparison. Although government final consumption expenditure was slightly up (+0.2%), household final consumption expenditure (–0.7%) was down for the first time since 2009, the year of the crisis. This consumption reluctancy must be seen, among other things, in the context of increased energy prices and special effects such as consumers’ uneasiness about the international debt crisis. [...]

Press release of Statistisches Bundesamt

Wiesbaden 1 September 2011

Rail freight transport

Destatis: Rail freight transport up 8.1% in first half of 2011

In the first six months of 2011, goods with a total weight of 188.0 million tonnes were transported on German railway lines. As further reported by the Federal Statistical Office (Destatis), that is an 8.1% increase from the first half of 2010. This means that the pre-crisis level of the first half of 2008, when the volume carried in rail freight transport was 189.8 million tonnes, was almost reached again. In the course of the first half of 2011, however, the increase has slowed down: While the year-on-year growth in the first three months was 10.6%, the volume transported from April to June rose just 5.8%.

Press release of Statistisches Bundesamt

Wiesbaden 31 August 2011

Retail turnover

Destatis: Retail turnover in Germany in July 2011: –1.6 % in real terms to July 2010

According to provisional results of the Federal Statistical Office (Destatis), retail turnover in July 2011 in Germany decreased 0.4% in nominal terms and 1.6% in real terms compared with the corresponding month in the previous year. The number of days open for sale was 26 in July 2011 and 27 in July 2010.

When adjusted for calendar and seasonal variations (CENSUS-X-12-ARIMA), the July turnover was in nominal terms 0.2% smaller and in real terms equal to that (0.0%) in June 2011.

Compared with the previous year, turnover in retail trade was in the first seven months of 2011 in nominal terms 2.5% and in real terms 1.0% larger.

Press release of Statistisches Bundesamt

Wiesbaden 26 August 2011

Import

Destatis: Import prices in July 2011: +7.5% on July 2010

The index of import prices rose by 7.5% in July 2011 compared to the corresponding month of the preceding year,as reported by the Federal Statistical Office (Destatis). In June 2011 the annual rate of change was +6.5%, in May 2011 it was +8.1%, respectively. From June 2011 to July 2011 the index rose by 0.8%.

The index of import prices, excluding crude oil and mineral oil products, was 4.3% above the level of a year earlier (+0.3% compared to June 2011).

The index of export prices increased by 3.7% in July 2011 compared with the corresponding month of the preceding year. In Junethe annual rate of change was +3.4% and in May 2011 +3.8%, respectively. From June 2011 to July 2011 the index rose by 0.3%.

Press release of Statistisches Bundesamt

Munich 26 August 2011

Credit Constraint Indicator

ifo: Credit Constraints remain weak

The credit constraints for German industry and trade remain at a low level in August for the second consecutive time. Only 21.4% of the surveyed firms have assessed the lending policy of banks as restrictive. This is 0.1 percentage points less than in July. With the accommodating credit policy of the banks, firms in Germany continue to find a favorable financing environment.

In manufacturing, the credit hurdle for large firms has once again fallen sharply: 17.0% of large firms reported that bank lending is restrictive – 1.7 percentage points less than in July. For medium-sized enterprises, however, credit constraints increased by 0.9 percentage points to 18.2%. Virtually unchanged is the portion of small businesses that complain of a difficult access to loans. Their share has decreased by 0.1 percentage points to 21.9%.

In construction, the credit constraint has increased by 0.8 percentage points to 29.2%. By contrast, the survey participants in distribution reported a limited access to credit less frequently, credit constraints having decreased by 0.4 percentage points to 20.9%.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 25 August 2011

Intra Trade

Destatis: More enterprises engaged in intra-Community trade

In the course of 2010, around 600,000 enterprises in Germany received goods from other member states of the European Union (EU) or delivered goods to other EU member states. As reported by the Federal Statistical Office (Destatis), the number of enterprises engaged in intra-Community trade was up by about 20,000 compared with the previous year. Almost 500,000 enterprises imported goods from other EU member states and some 250,000 enterprises acted as exporters.

Press release of Statistisches Bundesamt

Wiesbaden 25 August 2011

Building Industry

Destatis: Building industry in June 2011: Value of orders received down 0.7% from the previous year

As reported by the Federal Statistical Office (Destatis), the total price-adjusted value of orders received by building construction and civil and underground engineering enterprises in Germany decreased 0.7% in June 2011 from the same month of the previous year. In building construction demand increased 3.6%, in civil and underground engineering it decreased 5.0%.

The number of employees amounted to 722,000 at the end of June 2011. That was a decrease of 7,200 (–0.7%) compared with June 2010.

Press release of Statistisches Bundesamt

Munich 24 August 2011

Ifo Business Climate Index

ifo: Business Climate Index falls considerably

The Ifo Business Climate Index for German industry and trade has declined significantly in August. The companies have scaled back their expectations of business developments in the coming half year. The current business situation, however, continues to be assessed overall as good, although the situation appraisals in recent months were significantly more favourable. The German economy is not immune to current worldwide turbulences.

In manufacturing the business climate index has again lost ground. The firms no longer assess the current business conditions quite so often as favourable. The business prospects for the coming half year have been appraised significantly more cautiously than before. The firms have downgraded further their expectations for export business. Their personnel plans continue to call for an increase in the number of employees, but they are not as expansive as they were in the past few months.

The business climate has cooled in retailing and even more so in wholesaling. In both distribution sectors, the business situation is no longer assessed as positively as last month. The optimism of the distributing firms regarding the six-month business outlook has largely dissipated.

In construction the business climate has also worsened. The companies are no longer quite so satisfied with their business situation as before. Also regarding developments in the near future, the contractors are more reserved than they were in July.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Munich 17 August 2011

World Economic Climate

ifo: Worsening of the Ifo World Economic Climate

The Ifo World Economic Climate clouded over in the third quarter, after having improved in the first two quarters. The worsening affected both the appraisals of the current situation as well as the expectations for the coming six months. However, despite the weakening, both components are still in positive territory. The global economic upswing is faltering.

In North America the economic climate indicator is clearly below its long-term average, mainly as a result of a clearly more negative appraisal of the current economic situation. The expectations for the coming six months have clouded over slightly. In Asia the economic climate indicator is still slightly above its long-term average despite a further decline in appraisals of both the economic situation and the outlook. In Western Europe the economic climate indicator has fallen for the first time since the beginning of 2009, mainly as a result of the clearly less positive expectations. In the opinion of the WES experts, however, the current business situation has worsened slightly, although it is still seen as favourable.

Inflation expectations worldwide have risen slightly. This year, a price increase on a worldwide average of 4.0% is expected compared to a rise of 3.8% anticipated in the previous quarter. In comparison to the April survey, fewer WES experts – albeit still the majority – foresee rising interest rates in the course of the next six months.

Both the US dollar and the British pound are appropriately valued, on a worldwide average, in the opinion of the WES experts. The euro and the yen, however, seem to be somewhat overvalued. On a world-wide average, the surveyed experts foresee a further decline in the value of the US dollar in the next half year.

Hans-Werner Sinn,
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 16 August 2011

Gross Domestic Product (GDP)

Destatis: Gross domestic product growing just slightly in 2nd quarter of 2011

The momentum with which the German economy started into 2011 has slowed down considerably. In the second quarter of 2011, the gross domestic product (GDP) rose just 0.1% – upon price, seasonal and calendar adjustment – on the first quarter, as reported by the Federal Statistical Office (Destatis). The result for the first quarter of 2011 was slightly corrected downwards to +1.3%.

In a quarter-on-quarter comparison (adjusted for price, seasonal and calendar variations), positive contributions were made by exports and capital formation. However, imports in the second quarter of 2011 rose more strongly than exports.That large increase in imports on the one hand led to higher building of inventories, while on the other hand it resulted in a balance of exports and imports that had an altogether negative impact on economic growth. Also, final consumption expenditure of households and capital formation in construction had a slowdown effect on the German economy in the second quarter of 2011.

In a year-on-year comparison, however, the gross domestic product showed a marked increase again. In the second quarter of 2011, the price-adjusted GDP rose 2.8% (calendar-adjusted: +2.7%) on the second quarter of 2010.

According to first provisional calculations, the economic performance in the second quarter of 2011 was achieved by 41.0 million persons in employment in the domestic territory, which was an increase of 553,000 persons or 1.4% on a year earlier. [...]

Press release of Statistisches Bundesamt

Wiesbaden 11 August 2011

Wholesale

Destatis: Wholesale prices in July 2011: +8.2% on July 2010

The index of selling prices in wholesale trade was up 8.2% in July 2011 on July 2010, as reported by the Federal Statistical Office (Destatis). Compared with June 2011, the index of wholesale prices fell by 0.6% in July 2011.

Press release of Statistisches Bundesamt

Munich 10 August 2011

Euro Area: Ifo Economic Climate Indicator

ifo: Decline in the ifo Economic Climate Indicator

The Ifo indicator for the economic climate in the euro area has fallen in the third quarter for the first time since the beginning of 2009 and now stands only slightly above its longterm average. The assessments of the current situation are somewhat less positive compared to the second quarter of 2011. Above all the expectations for the coming six months weakened noticeably. Economic activity in the euro area is entering a difficult phase.

The current economic situation continues to be assessed as “excellent” in Germany, as “good” in Austria, Finland and Estonia and as “favourable” in Belgium. In France, the Netherlands and in Slovakia, the current economic situation has been assessed as “satisfactory” by the WES experts. The general economic situation has worsened above all in Cyprus. Here, as in Italy, it is appraised as “unfavourable”. In Ireland, Spain and Portugal, the economic experts have given the present economic situation even worse notes than in the previous quarter, i.e. it is very weak. Again, Greece received the worst appraisals on the WES scale.

The expectations for the coming six months in the euro area are considerably less confident over the previous survey. In many countries a worsening of the economic situation is expected. In contrast, the expectations in Spain, Ireland, and France are increasingly pointing upwards. In the Eastern European euro member states (Estonia, Slovakia and Slovenia) the outlook remains confident.

Inflation expectations have grown slightly. For the year, in the euro area a 2.6% increase in prices is expected. Not quite as many WES experts as in the previous survey anticipate rising interest rates in the course of the coming six months. The euro is considered to be slightly overvalued vis-à-vis the US dollar. Nevertheless, in the next half year the dollar is expected to continue to weaken over the euro.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 10 August 2011

Inflation Rate

Destatis: Consumer prices in July 2011: +2.4% on July 2010

In July 2011 the consumer price index for Germany was up 2.4% on July 2010. The inflation rate thus remained above the two-percent threshold for half a year. In May and June 2011 the rate of inflation had amounted to 2.3%. Compared with June 2011, the consumer price index increased by 0.4%. The Federal Statistical Office (Destatis) thus confirms its provisional result for July 2011.

In July 2011 the rate of inflation was determined by energy prices which continued to rise (motor fuels and household energy). Energy prices increased by an overall 10.6% in July 2011 compared with July 2010. Especially the prices of motor fuel were markedly higher than one year earlier (+12.3%). Household energy, too, was more expensive than in the preceding year (+9.8%; including heating oil: +25.6%; charges for central and remote heating: +8.8%; electricity: +7.4%). Not considering energy, the inflation rate would have risen by merely +1.5% in July 2011.

Press release of Statistisches Bundesamt

Wiesbaden 9 August 2011

Insolvencies

Destatis: 3.0% less business insolvencies in May 2011

As reported by the Federal Statistical Office (Destatis), in May 2011, German insolvency courts reported 14,375 insolvencies; 2,611 of them referred to enterprises and 9,383 to consumers. The total number of insolvencies increased 6.7% compared with May 2010, enterprise insolvencies decreased 3.0% and insolvencies of consumers increased 9.7%.

From January to May 2011 in all 67,476 insolvencies (–3.8%) were registered, 12,727 of which were enterprise insolvencies (–7.2%). Altogether the courts registered 43,602 consumer insolvencies, which were 2.2% less than in January to May 2010.

Press release of Statistisches Bundesamt

Wiesbaden 9 August 2011

Export

Destatis: German exports in June 2011: +3.1% on June 2010

Germany exported commodities to the value of Euro 88.3 billion and imported commodities to the value of Euro 75.6 billion in June 2011. Hence, as further reported by the Federal Statistical Office (Destatis) on the basis of provisional data, German exports increased by 3.1% and imports by 6.0% in June 2011 on June 2010. Upon calendar and seasonal adjustment, exports and imports showed diverging trends compared with the preceding month: while exports fell by 1.2% on May 2011, imports rose by 0.3%.

The foreign trade balance showed a surplus of Euro 12.7 billion in June 2011. In June 2010, the surplus amounted to Euro 14.3 billion. In calendar and seasonally adjusted terms, the foreign trade balance recorded a surplus of Euro 11.5 billion in June 2011.

According to provisional results of the Deutsche Bundesbank, the current account of the balance of payments showed a surplus of Euro 11.9 billion in June 2011, which included the balance of services (– Euro 1.1 billion), factor income net (+ Euro 4.6 billion), current transfers (– Euro 2.9 billion), and supplementary trade items (– Euro 1.4 billion). In June 2010, the German current account showed a surplus of Euro 13.4 billion.

In June 2011, Germany dispatched commodities to the value of Euro 54.0 billion to the Member States of the European Union (EU), while it received commodities to the value of Euro 50.0 billion from those countries. Compared with June 2010, dispatches to the EU countries increased by 4.3% and arrivals from those countries by 11.4%. Commodities to the value of Euro 36.9 billion (+4.7%) were dispatched to the Euro area countries in June 2011, while the value of the commodities received from those countries was Euro 35.9 billion (+12.6%). In June 2011, commodities to the value of Euro 17.1 billion (+3.6%) were dispatched to EU countries not belonging to the Euro area, while the value of the commodities which arrived from those countries was Euro 14.1 billion (+8.5%).

Exports of commodities to countries outside the European Union (third countries) amounted to Euro 34.3 billion in June 2011, while imports from those countries totalled Euro 25.6 billion. Compared with June 2010, exports to third countries increased by 1.3% and imports from those countries decreased by 3.1%.

Press release of Statistisches Bundesamt

Wiesbaden 8 August 2011

Manufacturing

Destatis: Turnover in manufacturing in June 2011 +0.1% seasonal adjusted on May 2011

As reported by the Federal Statistical Office (Destatis) on the basis of provisional data, the manufacturing sector saw turnover rise in real terms adjusted for seasonal fluctuations and working-day variations 0.1% in June 2011 compared with May 2011 (following a revised –0.9% in May 2011). Domestic turnover increased by 0.2%, the business with foreign customers declined 0.1%. Sales to euro area countries were 0.9% below preceding month’s level, while sales to other countries went up 0.6%.

Compared with the preceding year, real turnover in manufacturing showed a total increase of 6.2% in June 2011 after having been adjusted for working-day variations. Increases were observed in domestic sales (+5.6%), while turnover from business with foreign customers rose by 6.8%. Among foreign transactions, sales to euro area countries increased by 5.8%, while turnover with other foreign countries ascended 7.6%.

For the first half year of 2011 the (working-day adjusted) turnover in manufacturing was 9.7% above the level of the same period of the previous year; domestic turnover rose 8.2% and foreign turnover by a total of 11.4%.

Press release of Statistisches Bundesamt

Wiesbaden 29 July 2011

Wholesale

Destatis: Wholesale turnover in the 2nd quarter 2011: +1.2% in real terms on the 2nd quarter 2010

According to provisional results of the Federal Statistical Office (Destatis) the turnover achieved by wholesale trade in Germany in the 2nd quarter 2011 increased 8.2% in nominal terms and 1.2% in real terms compared with the 2nd quarter 2010.

In June 2011 wholesale trade increased 1.0% in nominal terms and decreased 4.8% in real terms compared with the corresponding month of the previous year.

Compared with the previous year, turnover in wholesale trade increased 11.0% in nominal terms and 3.1% in real terms in the first six months of 2011.

Press release of Statistisches Bundesamt

Munich 28 July 2011

Credit Constraint Indicator

ifo: Credit conditions remain favourable

The credit hurdle for German industry and trade remains low in July with 21.5% of the surveyed firms assessing the lending policy of banks as restrictive. This is 0.1 percentage points more than in June. The low credit constraints show that companies in Germany are benefiting from favorable credit conditions.

In manufacturing, the credit constraints have weakened again. Both large as well as medium-sized businesses voiced fewer complaints about difficult loan negotiations. The percentage of companies that sees the credit policy of banks as restrictive has decreased for large firms by 0.4 percentage points to 18.7% and for medium-sized enterprises by 1.0 percentage points to 17.3%. Among small companies, the credit constraint remains unchanged at 22.0%.

Also in construction, the survey participants reported a limited access to credit less frequently. Credit constraints have weakened by 1.5 percentage points to 28.4%. Only in distribution has the credit hurdle risen in July, increasing by 1.1 percentage points to 21.3%.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 27 July 2011

Import

Destatis: Import prices in June 2011: +6.5% on June 2010

The index of import prices rose by 6.5% in June 2011 compared to the corresponding month of the preceding year,as reported by the Federal Statistical Office (Destatis). In May 2011 the annual rate of change was +8.1%, in April 2011 it was +9.4%, respectively. From May 2011 to June 2011 the index fell by 0.6%.

The index of import prices, excluding crude oil and mineral oil products, was 4.0% above the level of a year earlier (–0.4% compared to May 2011).

The index of export prices increased by 3.4% in June 2011 compared with the corresponding month of the preceding year. In May the annual rate of change was +3.8% and in April 2011 +4.2%, respectively. From May 2011 to June 2011 the index did not change.

Press release of Statistisches Bundesamt

Munich 22 July 2011

Business Climate Index

ifo: Business Climate Index declines

The Ifo Business Climate for German industry and trade worsened noticeably in July after having improved in the previous month. The firms are no longer quite so satisfied with the current business situation but their assessments are just as favourable as in the spring of the year. Even though the business expectations are weakening, the German economy is still enjoying pleasant summer days.

The business climate index in manufacturing has fallen. In the assessments of the business situation there is no tendency change despite the marginal decline. But the expectations are clearly weakening. The firms anticipate a lower growth in export business than in the previous months. Capacity utilisation in manufacturing, however, is currently somewhat higher than in the spring. The firms still plan to hire additional personnel.

The business climate in retailing and in wholesaling has clouded over. In wholesaling the survey participants have assessed both their current business situation as well as the business outlook not quite so favourably as in the previous month. Retailers are likewise no longer as satisfied with their present business situation as hitherto, but they have given somewhat better assessments of their business prospects.

It was only in the construction sector that the business climate has improved. The tendency of the business-situation assessments continues to be positive. With regard to the six-month business expectations, the surveyed contractors are just as confident as in June.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 21 July 2011

Building Industry

Destatis: Building industry in May 2011: Value of orders received up 13.8% from the previous year

As reported by the Federal Statistical Office (Destatis), the total price-adjusted value of orders received by building construction and civil and underground engineering enterprises in Germany increased 13.8% in May 2011 from the same month of the previous year. In building construction demand increased 28.1%, in civil and underground engineering it increased 0.5%.

The number of employees amounted to 717,000 at the end of May 2011. That was a decrease of 5,600 (–0.8%) compared with May 2010

Press release of Statistisches Bundesamt

Wiesbaden 8 July 2011

Export

Destatis: German exports in May 2011: +19.9% on May 2010

Germany exported commodities to the value of Euro 92.1 billion and imported commodities to the value of Euro 77.3 billion in May 2011. As further reported by the Federal Statistical Office (Destatis) on the basis of provisional data, German exports increased by 19.9% and imports by 15.6% in May 2011 on May 2010. Upon calendar and seasonal adjustment, exports increased by 4.3% and imports by 3.7% compared with April 2011.

The foreign trade balance showed a surplus of Euro 14.8 billion in May 2011. In May 2010, the surplus amounted to Euro 9.9 billion. In calendar and seasonally adjusted terms, the foreign trade balance recorded a surplus of Euro 12.8 billion in May 2011.

According to provisional results of the Deutsche Bundesbank, the current account of the balance of payments showed a surplus of Euro 6.9 billion in May 2011, which included the balance of services (– Euro 0.5 billion), factor income net (– Euro 5.5 billion), current transfers (– Euro 1.1 billion), and supplementary trade items (– Euro 0.7 billion). In May 2010, the German current account showed a surplus of Euro 3.1 billion.

In May 2011, Germany dispatched commodities to the value of Euro 54.5 billion to the Member States of the European Union (EU), while it received commodities to the value of Euro 49.3 billion from those countries. Compared with May 2010, dispatches to the EU countries increased by 17.4% and arrivals from those countries by 16.4%. Commodities to the value of Euro 36.8 billion (+16.1%) were dispatched to the Euro area countries in May 2011, while the value of the commodities received from those countries was Euro 34.9 billion (+16.2%). In May 2011, commodities to the value of Euro 17.6 billion (+20.2%) were dispatched to EU countries not belonging to the Euro area, while the value of the commodities which arrived from those countries was Euro 14.4 billion (+17.1%).

Exports of commodities to countries outside the European Union (third countries) amounted to Euro 37.6 billion in May 2011, while imports from those countries totalled Euro 28.0 billion. Compared with May 2010, exports to third countries increased by 23.8% and imports from those countries by 14.2%.

Press release of Statistisches Bundesamt

Wiesbaden 5 July 2011

Aviation Sector

Destatis: Moderate increase in number of air passengers in first quarter of 2011

In the first three months of 2011, 20.3 million passengers departed from German airports. As reported by the Federal Statistical Office (Destatis), that was 0.7 million more than in the previous year (+3.6%). While increases were marked in January (+7.9%) and February (+6.6%), a 1.9% decrease was recorded for March. The main reason is probably the fact that the Easter holidays, when many people travel, had been in March in 2010, while this year Easter was in April.

In air freight transport, the volume (loading and unloading including air mail) from January to March 2011 for the first time in the first quarter of any calendar year exceeded the threshold of one million tonnes (1.0 million tonnes; +12.8% on the same period a year earlier). The growth was achieved especially in freight transport to and from the American continent (+19.0%). For Asia, which is the most important continent for air freight transport, and for Europe, air freight volumes increased 9.9% each, too.

Press release of Statistisches Bundesamt

Munich 30 June 2011

Credit Constraints

ifo: Credit Constraints weaken further

The credit constraints for German industry and trade weakened further in June. The number of firms that complained of banks’ restrictive loan policies fell 0.4 percentage points to 21.4%. This confirms the viewpoint of the Ifo Institute that a reassessment of the risks of foreign capital investments has induced the banks to increasingly offer the savings they have accumulated domestically. In June, the credit hurdle was lower than at its last low-point in summer 2007.

In manufacturing the decline was observed only for mid-sized firms, which comprise nearly 45% of the survey sample. For these firms the credit hurdle fell by 1.8 percentage points to 18.3%. For large enterprises the share of “restrictive” answers increased by 0.6 percentage points to 19.1% and among small firms by 0.7 percentage points to 22.0%.

In distribution as well, the complaints of more difficult access to loans weakened by 0.4 percentage points to 22.2%. In construction the credit hurdle remained unchanged at 29.9%. In all the survey sectors – distribution, construction and in manufacturing as a whole – the credit hurdle is at its lowest level since the introduction of the survey in spring 2003. Credit Constraints Continue to Weaken.

Hans-Werner Sinn
President, Ifo Institute for Economic Research

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 29 June 2011

Export Poland

Destatis: German exports to Poland doubled since the country’s accession to the EU

In the first three months of 2011, Germany exported goods to the value of Euro 10.6 billion to Poland. As further reported by the Federal Statistical Office (Destatis) on the occasion of Poland’s taking over the EU presidency on 1 July 2011, relevant imports amounted to Euro 7.8 billion. Altogether, German exports to Poland have markedly increased since Poland joined the EU. They more than doubled from Euro 18.8 billion in 2004 to Euro 38.1 billion in 2010.

Press release of Statistisches Bundesamt

Wiesbaden 28 June 2011

Import prices

Destatis: Import prices in May 2011: +8.1% on May 2010

The index of import prices rose by 8.1% in May 2011 compared to the corresponding month of the preceding year,as reported by the Federal Statistical Office (Destatis). In April 2011 the annual rate of change was +9.4%, in March 2011 it was +11.3%, respectively. From April 2011 to May 2011 the index fell by 0.6%.

The index of import prices, excluding crude oil and mineral oil products, was 5.1% above the level of a year earlier (+0.2% compared to April 2011).

The index of export prices increased by 3.8% in May 2011 compared with the corresponding month of the preceding year. In Apriland in March 2011 the annual rate of change was +4.2% and +4.9%, respectively. From April 2011 to May 2011 the index rose by 0.1%.

Press release of Statistisches Bundesamt

Munich 24 June 2011

Business Climate Index

ifo: Business Climate Index rises

The Ifo Business Climate for German industry and trade improved in June for the first time since February. The firms have given clearly more positive assessments of their current business situation than in May. Although their business expectations are again somewhat less optimistic, the firms remain confident. The German economy is experiencing a robust upswing.

The business climate in manufacturing continues to be good. The hitherto excellent business situation of the industrial firms has improved again in June. The business expectations of the surveyed firms are once again less positive, however. They continue to expect impulses from exports but are not quite so optimistic in this regard as in past months. The industrial firms intend to be more cautious in expanding staff levels.

In retailing the current business situation continues to be good. The confidence of the retailers with regard to the business outlook has weakened considerably, however. For this reason, the business climate index in retailing has fallen. In contrast, in wholesaling the business climate index has risen noticeably. The wholesalers have given much better assessments of their current business situation. They are also more confident regarding the six-month business outlook than in May.

The business climate in the construction sector has brightened considerably. The surveyed building contractors have given more positive assessments of both the current business situation as well as the six-month business outlook than in the past month.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 22 June 2011

Export Greece

Destatis: Exports to Greece continue to decrease in 2010

In 2010, commodities to the value of approximately Euro 5.9 billion were exported from Germany to Greece. As reported by the Federal Statistical Office (Destatis), German exports to Greece thus decreased markedly (–10.2%) compared with 2009 whereas, at the same time, exports to the total EU rose 15.5%. Last year, major export goods in trade with Greece included machinery and mechanical appliances (Euro 693 million), electrical equipment (Euro 653 million) as well as pharmaceutical products (Euro 562 million).

Press release of Statistisches Bundesamt

Wiesbaden 21 June 2011

Building Industry

Destatis: Building industry in April 2011: Value of orders received up 2.4% from the previous year

As reported by the Federal Statistical Office (Destatis), the total price-adjusted value of orders received by building construction and civil and underground engineering enterprises in Germany increased 2.4% in April 2011 from the same month of the previous year. In building construction demand increased 1.6%, in civil and underground engineering it increased 3.4%.

The number of employees amounted to 713,000 at the end of April 2011. That was a decrease of 4,700 (–0.7%) compared with April 2010.

Press release of Statistisches Bundesamt

Wiesbaden 15 June 2011

Economic Situation

Destatis: 3.6% less start-ups of larger businesses in the first quarter of 2011

As reported by the Federal Statistical Office (Destatis), some 40,000 businesses were founded the first quarter of 2011, whose legal form and number of employees suggest some economic importance. That was 3.6% less than in the first quarter of 2010.

In the same period of 2011, some 78,000 small businesses were founded. Hence, the number of start-ups of small businesses decreased 1.3% on the same period a year earlier.

Press release of Statistisches Bundesamt

Hamburg 14 June 2011

Global Insolvencies Index

Euler Hermes: Despite a moderate decline in 2011-2012, number of corporate insolvencies to remain above pre-crisis levels

Euler Hermes’ Global Insolvencies Index, which tracks worldwide trends in corporate failures, dropped by a significant 5% in 2010 after having soared by 64% between 2007 and 2009. Corporate insolvencies are expected to remain above their pre-crisis levels until at least 2012.

Business failures continued to rise in Southern Europe (Greece, Italy and Portugal). There were improvements in Eastern Europe (Hungary, Poland, Czech Republic, Russia and Slovakia) and in some other countries such as Belgium, Denmark, Ireland, Luxembourg and Switzerland. The improvement was slight, a 2% decrease, in France and Germany.

Press release of Euler Hermes

Wiesbaden 10 June 2011

Wholesale Prices

Destatis: Wholesale prices in May 2011: +8.9% on May 2010

The index of selling prices in wholesale trade was up 8.9% in May 2011 on May 2010, as reported by the Federal Statistical Office (Destatis). Compared with April 2011, the index of wholesale prices did not change in May 2011.

Press release of Statistisches Bundesamt

Wiesbaden 9 June 2011

Crafts Sector

Destatis: 11.9% more turnover in the crafts sector in the first quarter of 2011

As reported by the Federal Statistical Office (Destatis), the turnover in crafts with compulsory approval was up 11.9% in the first quarter of 2011 compared to the first quarter of 2010. At the end of March 2011 the number of persons employed by crafts entrepreneurs was up 1.1% compared to the level a year earlier.

Press release of Statistisches Bundesamt

Wiesbaden 1 June 2011

Export

Destatis: Exports in 1st quarter of 2011: +18.8% on a year earlier

Total German exports rose 18.8% to Euro 260.8 billion in the 1st quarter of 2011 compared with the same quarter of the previous year. When adjusted for price changes, exports were up 13.6%, as reported by the Federal Statistical Office (Destatis).

Press release of Statistisches Bundesamt

Munich 24 May 2011

Business Climate Index

ifo: Business Climate favourable

The Ifo Business Climate for German industry and trade remains stable in May, after a slight cooling in the two preceding surveys. The previously good business situation has again been given a better assessment. The six-month business outlook is once more somewhat dampened but remains positive. The business cycle traffic lights still signal “green”.

In manufacturing the business climate index has fallen slightly for the third time in succession. As in the previous month, the decline is the result of the firms’ somewhat less optimistic business expectations. The industrial firms still assess the current business situation as very good. They also continue to see great opportunities from export business. Firms plan to clearly increase staff levels although not at the pace of the past month.

In retailing the business climate index has risen markedly. The business situation of the retailers has clearly improved. With regard to business in the coming half year, the firms are more confident than in the previous month. In contrast, the business situation in wholesaling has again clouded somewhat. The wholesalers have assessed their business situation as no longer as favourable as before. Their business expectations, however, are slightly more positive than in April.

In the construction sector, the business climate is largely unchanged. The firms have assessed both their current business as well as the business outlook just as favourably as in April.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 24 May 2011

GDP

Destatis: Detailed results on the gross domestic product in the 1st quarter of 2011

The German economy started into 2011 with momentum. As already reported by the Federal Statistical Office (Destatis) in its first release of 13 May 2011, the gross domestic product (GDP) in the first quarter of 2011 rose 1.5% on the previous quarter upon price, seasonal and calendar adjustment. Hence the pre-crisis level of early 2008 has already been exceeded. In the fourth quarter of 2010, economic growth had been moderate (+0.4% on the third quarter of 2010), which however was in part due to the weather and, consequently, had a positive effect on the increase in the first quarter of 2011.

Press release of Statistisches Bundesamt

Munich 18 May 2011

World Economic Climate

ifo: World Economic Climate brightens further

The Ifo indicator for the world economic climate has risen further albeit only slightly. The increase is the sole result of more favourable assessments of the current economic situation. The expectations for the coming six months weakened somewhat, however, but are still confident. The survey results indicate that the recovery of the world economy will continue in the coming six months although at a somewhat weaker pace.

The economic climate indicator in North America and in Asia fell somewhat following the strong increase in both regions in January. Whereas in North America only the six-month expectations weakened, the decline in the indicator in Asia was due both to less favourable assessments of the current economic situation and also less positive expectations. Especially in Japan, the assessments of the current situation were clearly less positive. In Western Europe the world economic climate indicator rose solely as a result of the more positive assessments of the current economic situation. The expectations for the coming six months weakened here, however, but remain at a “confident” level.

Fears of inflation have risen world wide. For this year, a price increase of 3.8% is expected, on a world-wide average, whereas at the beginning of the year 3.4% was forecast. With the growing dangers of inflation, clearly more WES experts now anticipate further key interest rate hikes in the coming six months.

According to the WES experts, the US dollar, the euro and the British pound are seen worldwide as appropriately valued. In contrast, the yen is seen to be overvalued. On a world-wide average, the dollar exchange rate is expected to remain unchanged in the coming six months.

World wide, “public budget deficits” are seen as currently the most urgent economic problem. This is followed in second place, of a list of problems, by “inflation” and only in third place by “unemployment”, which previously had topped the list.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 13 May 2011

GDP

Destatis: German economy starting into 2011 with momentum

The German economy is regaining pace. The gross domestic product (GDP) rose 1.5% – upon price, seasonal and calendar adjustment – in the first quarter of 2011 on the previous quarter, as reported by the Federal Statistical Office (Destatis). Hence the pre-crisis level of early 2008 has been exceeded already now. In the fourth quarter of 2010, economic growth had been moderate (+0.4% on the third quarter of 2010), which however was in part due to the weather and, consequently, had a positive effect on the increase in the first quarter of 2011.

When compared with a year earlier, the gross domestic product rose more sharply than ever since German unification. In the first quarter of 2011, the price-adjusted GDP was up 5.2% on the first quarter of 2010 (calendar-adjusted: +4.9%).

In a quarter-on-quarter comparison (adjusted for price, seasonal and calendar variations), a positive contribution was made mainly by the domestic economy. Both capital formation in machinery and equipment and in construction and final consumption expenditure increased in part markedly. The growth of exports and imports continued, too. However, the balance of exports and imports had a smaller share in the strong GDP growth than domestic uses.

The economic performance in the first quarter of 2011 was achieved by 40.4 million persons in employment, which was an increase of 552,000 persons or 1.4% on a year earlier.

In addition to the first calculation of data for the first quarter of 2011, the results published so far for the four quarters and for the year of 2010 were revised and corrected where required. The revision has led to changes in the rates of change of the price-adjusted GDP by a maximum of 0.2 percentage points. The annual result for 2010 has not changed (+3.6%). Also, slight changes have occurred in the seasonally and calendar-adjusted results published previously for periods before 2010.

Press release of Statistisches Bundesamt

Munich 11 May 2011

Ifo Indicator: Euro Area

Further Rise in the Ifo Indicator for the Economic Climate

The Ifo indicator for the economic climate in the euro area rose in the second quarter and is now clearly above its long-term average. The assessments of the current economic situation were clearly more positive than in the first quarter of the year. The expectations for the coming six months weakened, however, but remain confident on the whole. The survey results indicate that the economic upswing in the euro area will continue but with considerable differences in the individual member countries.

The current economic situation in Germany is excellent; it is good in Austria and Finland; and is still seen as favourable in Belgium, the Netherlands and Slovakia. In France, Estonia and Cyprus, the current economic situation is now seen by the WES experts as satisfactory – this marks a considerable improvement over the previous survey. The economic situation remains unfavourable in Italy. In the GIPS states - Greece, Ireland, Portugal and Spain - the surveyed economists still assess the current economic situation as weak.

The expectations for the coming six months in the euro area are somewhat less confident vis-à-vis the previous survey but are still largely in positive territory. In Greece and above all in Portugal, the expectations for the coming six months signal a further worsening.

Fears of inflation continue to grow. For the euro area, an inflation rate of 2.5% is expected for the year, which is clearly above the target of the European Central Bank. Correspondingly clearly more WES experts now anticipate hikes in key lending rate in the coming six months.

Economic growth in the euro area will amount to 1.9%, according to the WES experts. The euro/dollar exchange rate is expected to remain stable in the coming six months.

Hans-Werner Sinn
President of the Ifo Institute for Economic Research at the University of Munich

Press release of ifo Institut für Wirtschaftsforschung e.V.

Wiesbaden 9 May 2011

German Exports & Imports

Destatis: German exports and imports hitting record levels in March 2011

Germany exported commodities to the value of Euro 98.3 billion and imported commodities to the value of Euro 79.4 billion in March 2011. As further reported by the Federal Statistical Office (Destatis) on the basis of provisional data, German exports increased by 15.8% and imports by 16.9% in March 2011 on March 2010. That was the highest monthly figure recorded for both exports and imports since the collection of foreign trade statistics had started in the Federal Republic of Germany in 1950. The former all-time high of exports, which amounted to Euro 88.8 billion, was observed in April 2008, that of imports in November 2010 (Euro 74.1 billion).
Upon calendar and seasonal adjustment, exports increased by 7.3% and imports by 3.1% in March 2011 compared with February 2011.

The foreign trade balance showed a surplus of Euro 18.9 billion in March 2011. In March 2010, the surplus amounted to Euro 17.0 billion. In calendar and seasonally adjusted terms, the foreign trade balance recorded a surplus of Euro 15.2 billion in March 2011.

According to provisional results of the Deutsche Bundesbank, the current account of the balance of payments showed a surplus of Euro 19.5 billion in March 2011, which included the balance of services (+ Euro 0.5 billion), factor income net (+ Euro 4.9 billion), current transfers (– Euro 2.9 billion), and supplementary trade items (– Euro 1.9 billion). In March 2010, the German current account showed a surplus of Euro 18.8 billion.

In March 2011, Germany dispatched commodities to the value of Euro 58.8 billion to the Member States of the European Union (EU), while it received commodities to the value of Euro 51.3 billion from those countries. Compared with March 2010, dispatches to the EU countries increased by 16.0% and arrivals from those countries by 21.1%. Commodities to the value of Euro 39.7 billion (+14.2%) were dispatched to the Euro area countries in March 2011, while the value of the commodities received from those countries was Euro 36.1 billion (+20.8%). In March 2011, commodities to the value of Euro 19.1 billion (+20.0%) were dispatched to EU countries not belonging to the Euro area, while the value of the commodities which arrived from those countries was Euro 15.2 billion (+21.8%).

Exports of commodities to countries outside the European Union (third countries) amounted to Euro 39.5 billion in March 2011, while imports from those countries totalled Euro 28.1 billion. Compared with March 2010, exports to third countries increased by 15.4% and imports from those countries by 9.9%.

Press release of Statistisches Bundesamt

Wiesbaden 9 May 2011

Manufacturing

Destatis: Turnover in manufacturing in March 2011 +0.7% seasonal adjusted on February 2011

As reported by the Federal Statistical Office (Destatis) on the basis of provisional data, the manufacturing sector saw turnover rise in real terms adjusted for seasonal fluctuations and working-day variations 0.7% in March 2011 compared with February 2011 (following a revised +0.6% in February 2011). Domestic turnover remain constant, the business with foreign customers increased 1.4%. Sales to euro area countries were 2.9% above preceding month’s level, while sales to other countries went up by 0.4%.

Compared with the preceding year, real turnover in manufacturing showed a total increase of 10.0% in March 2011 after having been adjusted for working-day variations. Increases were observed in domestic sales (+6.6%), while turnover from business with foreign customers rose by 14.0%. Among foreign transactions, sales to euro area countries increased by 12.6%, while turnover for other foreign countries ascended 15.0%.

In the first quarter 2011 the (working-day adjusted) turnover in manufacturing was 11.8% above the level of the same period of the previous year; domestic turnover rose 9.0% and foreign turnover by a total of 15.2%.

Press release of Statistisches Bundesamt

Wiesbaden 29 April 2011

Retail turnover

Destatis: Retail turnover in Germany in March 2011: –3.5% in real terms to March 2010

According to provisional results of the Federal Statistical Office (Destatis), retail turnover in March 2011 in Germany decreased 2.0% in nominal terms and 3.5% in real terms compared with the corresponding month in the previous year. The number of days open for sale was 27 in March 2011 and 27 in March 2010, too.

When adjusted for calendar and seasonal variations (Census X-12-ARIMA), the March turnover was in nominal terms 1.8% and in real terms 2.1% smaller than that in February 2011.

Compared with the previous year, turnover in retail trade was in the first three months of 2011 in nominal terms 1.6% and in real terms 0.2% larger.

Press release of Statistisches Bundesamt