April 30 Reuters German retail sales rose more than expected in March, pointing a recovery in consumption at the end of the month.

Retail sales increased by 1.8 compared with the previous month, data from the German statistics office showed on Tuesday.

Analysts polled by Reuters had predicted a 1.1 increase.

Higher prices took their toll in consumption last year, but private consumption is expected to contribute significant growth momentum this year as real wages are seen rising in a resilient labour market.

German consumer sentiment is set to rise in May on the back of households39; brighter income expectations, continuing a path of recovery that has been slowgoing due to uncertainty about the country39;s economic development, the GfK survey showed last week.

Reporting by Ozan Ergenay and Maria Martinez, editing by Andrey Sychev

Source Reuters