GfK expects moderate rise in Germans' 2013 purchasing power

NUREMBERG, GERMANY: The 'GfK Purchasing Power Germany 2013' study shows that in 2013, Germans will have around €554 more per capita in nominal disposable income than in 2012. However, there are strong regional variations in the consumption potential of the German population. For the first time, Baden-Württemberg will overtake the federal state of Hesse to take third place in the ranking.

For 2013, GfK forecasts a purchasing power of €1,687.7bn for Germany as a whole. This corresponds to an increase of 2.9% on the (revised*) 2012 total. This means that Germans can expect an average of €20,621 per capita and €554 more than in the previous year to spend on consumption, rental and other general living costs in 2013.

Purchasing power corresponds to the population's disposable net income, including government subsidies such as pension payments, unemployment assistance and child benefit.

In light of the Deutsche Bundesbank's inflation forecast of 1.5%, Germans will not only enjoy a nominal, but also a minor real increase in their purchasing power of around 1.4%. Consequently, a slight rise in consumption is to be expected for next year. However, not all sectors of the population will benefit. For example, the increase in pensions is anticipated to remain below the rate of inflation, which means a loss of purchasing power in real values. However, the income development is predicted to remain favourable in many industries.

Download the complete 'GfK Purchasing Power Germany 2013' study'