Germany's economic activity is likely to improve markedly in the second quarter, the Bundesbank said in its monthly report on Tuesday.
Bundesbank sees "catch-up effects" in the construction sector. In addition, the central bank expects noticeable increase in industrial new orders to underpin exports and investment.
Nonetheless, the bank said there remains significant macroeconomic risks from euro area crisis.
According to official data, the largest Eurozone economy narrowly escaped recession in the first quarter of 2013. Due to weak investment and exports, gross domestic product grew only 0.1 percent sequentially.
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June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.