German companies have revised up their investment plans for the year and are showing increased optimism, according to the Ifo Institute. Investment expectations rose to 0.2 in March from minus 3.1 in December.
ANNONS
The industry is driving the increase, especially in automotive and machinery manufacturing, while energy-intensive sectors such as chemicals remain weak. Investments in research, development and software are also increasing, partly linked to greater use of artificial intelligence.
At the same time, the outlook is dampened by rising energy costs and increased uncertainty due to the war in Iran.
Trade remains the most pessimistic, while the service sector is slightly positive.
