German Consumer Confidence Continues to Decline

According to a recent joint report by the market research institute GfK and the Nuremberg Institute for Market Decisions (NIM), consumer confidence in Germany is expected to further decrease in August, reaching a negative 21.5. This marks a drop from the revised figure of negative 20.3 in the previous month.

Key Factors Behind the Decline

The report highlights a decrease in willingness to buy, which fell by 3 points to negative 9.2, alongside an increase in willingness to save, which rose by 2.5 points to 16.4 in July.

Expert Insights on Consumer Behavior

"The recovery in consumer sentiment continues to be postponed, because the willingness to save has risen again," explained Rolf Buerkl, NIM's Head of Consumer Climate. He added, "Our in-depth analyses show that general uncertainty, the need to be prepared for difficult situations, and high prices, especially for food, are the main reasons for this cautious approach among consumers."