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The following article was published in our article directory on December 23, 2010.
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Germany Overall Economic Situation has Improved

Article Category: Business Management

Author Name: Amanda xzh

Christmas 2010 approaching, as the West's largest traditional festival, family reunion, and before the holiday shopping is essential the two main themes. This year's Christmas shopping season, with the overall economic situation improved, the German businesses may want to make one pours.

German Retail Association head of media, open Falco recent interview with reporters, said, according to the latest association survey, retail sales in Germany in January of this year than last year 11,12 grew by 2.5% over the same period the year is expected to increase 1.5%. He said: "The German retailer Christmas shopping season this year is very optimistic about sales."

Falco said that last year the German retail trade has shrunk to 2%, for the most serious recession since 2000. This year is expected to grow 1.5% in retail trade, only one year to the basic recovery, is a very good performance. In his view, to have such a good performance mainly due to, first, the general improvement of the German economy, the second is unemployment.

German economy after the 4.7% decline last year, V-shaped rebound, the economy in 2010 is expected to grow by 3.7% since the German reunification the two fastest growing economies in the year. German Economy Minister October the release of the latest annual economic forecast, said that in addition to exports, domestic demand is becoming a pillar of economic growth in Germany. During the year 2010, growth will be 2.4%.

Significantly improve the economic growth of the German business-to-current situation and future expectations. Located in Munich, Germany ifo Institute for Economic Research has released a German business confidence index in December, the index following the reunification of Germany in November to its highest value since then high, which with the retail and wholesale trade-related indicators, particularly eye-catching. Ifo Institute for Economic Research, Hans - Professor Werner Sinn said: "The retailers evaluation of the current business environment is very good for the next 6 months more optimistic expectations."

Germany's GfK market research company announced in December consumer confidence index in Germany is also a new high. GfK company said: "German consumers believe that in the coming months, the German economy will continue strong growth."

Good performance, driven in some big German companies are willing to allocate funds to reward employees. Siemens said in November to come up with 310 million euros on a one-time reward employees worldwide. December Porsche also said it will deliver € 2,100 employees Christmas bonus and salary increase of 2.7% in the time to cash provided from next April to 2 months.

Despite the current economic situation in Germany is excellent, but experts and research institutions to judge the situation for next year's spending quite cautious. Falco said: "Although German consumers more optimistic now, but they are still cautious when in the consumer, so sales for the next year we are cautiously optimistic."

Former chief economist of Deutsche Bank, said Norbert Walter Twa next year as the European countries have reduced public spending, strengthen its economy, the inevitable decline in overall demand in Europe, and Europe as one of Germany's main export markets will inevitably affect the German economy growth.

Kiel Institute of World Economics latest forecast also shows that, although the German economy in 2010 achieved the fastest growth since reunification, but still not fully compensate for the losses caused by last year's vicious recession. The forecast also said that the global economy in 2011 will enter the phase of slow growth, economic growth declined by 4.8% this year to 3.6%.

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