FRANKFURT, German (AP) - Germany's leading economic institutes say the country is bouncing back from a downturn at the end of last year.
In their twice-yearly report released on Thursday, the institutes say Europe's biggest economy should see growth, moderate inflation and fewer unemployed this year. Fears that the euro-zone debt crisis will hurt Germany have lessened and companies are well-positioned to export to emerging markets.
The upbeat outlook came even as the growth forecast was trimmed to 0.8 per cent from an earlier forecast of 1.0 per cent last October. They foresee unemployment falling to an average of 6.7 per cent for 2013 from 6.8 per cent in 2012.
The German economy shrank 0.6 per cent in the fourth quarter of last year but many economists think it is returning to growth.