The indicator of economic sentiment in Germany continued to increase in September and rose by 5.9 points compared to the previous month to 77.4 points, according to the monthly expert survey published by the Leibniz Center for European Economic Research (ZEW) on Tuesday.
“Stalled Brexit talks and rising COVID-19 cases could not dampen the positive mood,” said ZEW President Achim Wambach, adding that “experts continue to expect a noticeable recovery of the German economy.”
The assessment of the current economic situation in Germany also improved and increased by 15.1 points to minus 66.2 points, according to the survey among almost 180 analysts.
With the increase of both the ZEW indicator of economic sentiment as well as the assessment of the economic situation in Germany, “the overall outlook has improved significantly compared to the previous month,” ZEW noted.
“However, the still negative outlook for the banking sector reveals fears of a rising number of loan defaults in the coming six months,” added Wambach.