AFP, FRANKFURT AM MAIN: Consumer confidence in Germany will inch upwards in February, a closely-watched survey forecast yesterday, as political gears grinding in Berlin fail to slow the tempo of Europe’s biggest economy. Market research firm GfK said its forward-looking poll of around 2,000 people climbed 0.2 points to 11.0 for February, slightly higher than analysts’ expectations. Conusmers “clearly see the German economy in a boom” and expect it to benefit them personally, the firm commented in a statement.

A breakdown of the survey showed that consumers are anticipating a continuing improvement in the economy, with growth expectations set to rise for third consecutive month. “The euphoria can be explained above all by the continuing excellent situation on the labour market,” GfK noted.

“Falling unemployment and an extremely high number of open jobs make for optimism.” The progress towards forming a new government in Berlin—with the Social Democratic Party recently agreeing to coalition talks with Chancellor Angela Merkel’s conservatives—“could also have given an extra push to economic expectations,” the pollsters added.