A survey by the ifo Institute in Germany in December 2025 revealed an unexpected drop in business sentiment.
The business climate index fell to 87.6 points, down from 88 points in November. Analysts had forecast a slight increase to 88.2 points.
Klaus Wohlrabe, head of surveys at the ifo Institute, stated: “There are no positive signals for the German economy this year.”
The decline coincides with weaker composite PMI data, indicating that the long-awaited economic recovery has yet to materialize.
Sources - Agencies