Ifo: German Business Climate Remains in 'Standstill' Through 2025 Amid Economic Concerns

03:10 AM EST, 12/04/2025 (MT Newswires) -- Business sentiment in Germany was practically at a "standstill" across 2025, with the overall index rising by only 2.8 points from January to November as companies grew concerned about economic development, the ifo Institute said Thursday. The research institute added that the business situation indicator "scarcely changed" at -0.4 points, while expectations saw a slight increase at 5.9 points. Across sectors, industry business climate "improved noticeably" over the year, though almost all sectors remained in negative territory, and the outlook was "predominantly pessimistic." Meanwhile, the construction industry was on an upward trajectory, but the sector started from a "very low point" and remained below baseline. Service providers barely moved, while the sentiment in the trade sector somewhat recovered but stayed at a "very low level" at year's end and was worse than in prior years.