A recovery in the euro zone is likely to give the German economy, particularly exports, an extra boost, Ifo economist Klaus Wohlrabe told Reuters on Tuesday.
"The economic recovery of the Euro zone could serve as an additional impulse for exports," said Wohlrabe.
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He also said that the auto sector and investment goods had driven growth in the manufacturing sector and that consumption was stable. Euphoria in the construction sector was fading but business remained solid, he said.
Earlier, the Ifo think tank said its index of German business morale rose to the highest level in over a year in August, bolstering the view that Europe's largest economy is picking up pace.
(Reporting by Joern Poltz; Writing by Madeline Chambers; editing by Erik Kirschbaum)