German Economy to Grow Faster as Exports Revive, Institutes Say

Germany’s economy is shrugging off a contraction at the end of last year and starting to grow due to revived exports and rising private consumption, the country’s leading economic institutes said.

Europe’s biggest economy will expand by about 0.8 percent this year, double the rate forecast by the government, and pick up momentum to grow 1.9 percent in 2014, said the group, which includes Munich’s Ifo institute. The euro area as a whole will probably contract by 0.4 percent this year and expand by 0.9 percent in 2014, the group forecast.