Despite positive conditions such as low unemployment, rising wages, and low inflation, the German economy continues to struggle.

Both imports and construction fell by 2.1%, the important exports sector by 1.8%, with capital investment falling 1.5%.

Growth of 0.4% was originally predicted by Bundesbank, and although these figures failed to materialise, the 0.1% growth avoided another quarter of falling economic output.

This is due to the poor performance in some areas being somewhat offset by a rise in consumer spending, associated with the rising wages.

Recent figures also showed German business sentiment improved for the for first time in two years this month.