The GfK Consumer Climate indicator was -21.4 in January, up from -23.1 in December. The forecast for the indicator in February is -22.4, a -1.0 pt drop from the current reading. The sub-indicators showed negative movements across most measures:

• Economic Expectations declined by 1.9 pts to -1.6 pts, reversing the slight improvement seen at the end of 2024. This decline reflects Germany's continued economic challenges, with GDP having contracted 0.2% in 2024 and growth forecasts for 2025 being revised down to around 0.5%.
• Income Expectations lost 2.5 pts, falling to -1.1 pts. This erased about half of the gains made in December 2024 (when it had gained 4.9 points). This indicator had shown two distinct phases in 2024 - a strong recovery in the first half followed by a downward trend in the second half.
• The Willingness to Buy decreased by 3 pts to -8.4 pts, reaching its lowest level since August 2024 (when it was at -10.9 pts). This decline was largely driven by the weaker income prospects and rising inflation, which reached 2.6% in December.
• In contrast to the other indicators, the Willingness to Save increased by 2.3 pts to 8.2 pts, contributing to the overall decline in consumer climate.