It’s hardly a pace that is only fit for the autobahn, but the German economic machine is moving forward again, and is gathering pace. One could say perhaps that it’s moved out of first gear into second.

According to six economic institutions that know the German economy, growth of 1.8% this year is expected, this projection is up from their previous 1.2% estimate.

But, this is no juggernaut slowly gathering momentum, because the same coterie of economists warn that 2007 is likely to see growth slow slightly.

According to the Item club, the UK is likely to grow by 2.3% this year, 2.6% next and then 3% in 2007.

© Investment & Business News 2013