ISTANBUL

Germany's Ifo Business Climate Index stood at 87.6 points in January, unchanged from the previous month, according to data released Monday.

The Ifo Institute for Economic Research said the results were based on its January Business Climate Index survey, which polled approximately 9,000 companies.

Market expectations had pointed to a rise in the index to 88.3 points.

While the overall index remained stable, Germany’s Ifo Expectations Index slipped slightly to 89.5 points from 89.7, and the Current Situation Index edged up to 85.7 points.

In a statement, Ifo said assessments of the current situation improved modestly, while expectations were revised slightly downward.

"The German economy is starting the new year with little momentum," the institute said.

The manufacturing sector saw a significant boost in the index as businesses evaluated the state of their operations as being more favorable. Additionally, their expectations were noticeably less negative.

Business sentiment also improved in construction, driven by a better assessment of current conditions. In trade, the business climate strengthened as firms rated their situation more positively and expectations became less negative.

By contrast, the service sector recorded a deterioration in business sentiment, with companies assessing the current situation as slightly worse and becoming more pessimistic about the outlook.