Business

GERMANY: Manufacturing plans to invest 7% more

by fm

29th May 2015

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1 min read

German manufacturing intends to invest considerably more in 2015 than the year before, according to a survey by the Ifo Institute. The preliminary figures indicate an increase of seven percent, the Institute reported Friday in Munich. Especially smaller and medium-sized companies plan to increase significantly their spending on new buildings and equipment in the current year; larger firms will invest less.

Last year, the manufacturing sector increased its investments by about three percent. According to company information from spring 2014, however, an increase of nine per cent had been expected. The corresponding real rates of change are of a similar magnitude due to mostly only slight price increases for new fixed assets.

These findings are based on a preliminary evaluation of the current Ifo Investment Survey conducted for the European Commission. A good two thirds of the targeted 2400 responses were included in the calculations.