Experts expect German economy to grow 1.6% in 2014

German economy is expected to grow by 1.6 percent in 2014, the German Council of Economic Experts said in its annual report on Wednesday. For 2013, the experts raised their forecasts slightly from 0.3 to 0.4 percent, while the German government predicts a growth of 0.5 percent for this year and 1.7 percent for next year. The report said that the reason for the improvement in economic activity is the acceleration of global production, citing that the good economic situation would lead to booming domestic economy and consumer spending rise. As the report predicted, German consumer spending will rise from this year's 1 percent to 1.3 percent next year, as the average unemployment rate drops from 6.9 percent to 6.8 percent. The German Council of Economic Experts, a group of five economists appointed by the country's president to advise the government and parliament on economic policy issues, publishes every November its annual report, which is considered as the most authoritative report of economic forecasts in Germany.