The index is based on the business situation and expectations of 400 manufacturers, dealers and service companies from the IT and telecommunications industry (ITC). “The digital index evaluates a sector that plays a key role in the development of the German economy,” explains ifo President Clemens Fuest. The index rose by 2.2 points to 27.0 points from April to May, while the already very good business situation rose by 2.8 points to 46.7 points. Expectations for the development of employment (32.0 points) and prices (11.4 points) are both close to the long-term maximum.

Compared to the ifo business climate for the German economy as a whole, the Bitkom-ifo digital index consistently indicates a significantly higher level. ITC companies' expectations nevertheless had one of the lowest expectations for the coming months since the financial and economic crisis of 2009, rising 1.7 points to 8.8 points. Despite various economic risks, the business situation in the digital sector is still very good, explains Bitkom president Achim Berg, adding: “The situation is better than the mood.”