German exports rise in November

– Trade surplus narrows to 11.8 bln euros 

Germany's trade balance narrowed in November, with imports gaining speed in a sign that domestic growth is gathering importance in Europe's largest economy.

Exports, the traditional backbone of the German economy, rose less than forecast, gaining 0.5 percent on the month adjusted for seasonal swings, less than the 0.8 percent growth forecast in a Reuters poll .

Adjusted imports rose 4.1 percent, figures from the Federal Statistics Office showed, putting the trade surplus at 11.8 billion euros, down from a revised 14.2 billion in October.

"Rising imports are a sign of domestic demand picking up. That is our contribution to the growth of euro zone countries, for many of which we are the most important trade partner," said Holger Sandte at West LB.

"Exports, too, will go well, even if growth will not be as strong as in 2010."

Germany's economy is expected to have grown by more than 3 percent in 2010, emerging quickly from its deepest post-war recession the year before that and leaving behind peers in the euro zone still in, or on the brink of, recession.

A Reuters poll had forecast exports would rise 0.8 percent on the month, while imports would increase by 1.2 percent.

However, retail sales, also published on Friday, fell 2.4 percent on the month in November when adjusted for inflation. The volatile number comprises about three-quarters of all retail sales in Germany.