Orders rose 2.9 percent in July from the previous month on a seasonally adjusted basis.
Analysts polled by Reuters had expected a decline of 1.5 percent.
Excluding large orders such as trains, ships and aircraft, new orders in July fell 0.4 percent from the previous month.
Large volume orders increased by 86.5 percent on a monthly basis.
It is noteworthy that the German economy had contracted in the second quarter by 0.1 percent, amid weak consumption and a decline in industrial investments.
The period from April to June witnessed a 4.1 percent decline in investments in machinery and equipment and a 2 percent decline in investments in the construction sector.
Last week, the Ifo institute’s business climate index fell to 86.6 in August from 87.0 in July, with Ifo president Clemens Fuest saying “the German economy is increasingly sliding into crisis.”
Germany, which before the Corona pandemic was considered a major engine of growth in Europe, last year became the only advanced economy to witness a contraction.
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