The private sector in Germany showed signs of growth. A new survey conducted by financial information services company Markit revealed that the Purchasing Managers' Index (PMI) of Germany's private sector increased to 53.4 in August from 52.1 in July. This represented the country's fastest growth since January. It also indicated a solid rise in overall business activity in Europe's largest economy.
The PMI sought to measure growth in the manufacturing and services sector which comprises over two-thirds of the German economy. A reading above 50 is an indication of expansion. The growth was also aided by an increase of new work. August also registered an increase of new businesses in the private sector.
Markit Chief Economist Chris Williamson told Bloomberg, "It's an increasingly buoyant-looking picture, with manufacturing seeing its best performance for a couple of years, and alongside that there's an improving service sector, so exporters are doing well and the domestic economy is healing." He also added that more employment opportunities could be available in the next months which would help sustain growth.
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