Investor confidence has fallen unexpectedly in Germany according to a new survey, in another negative sign for the eurozone economy.

THE eurozone economy grew just 0.2% in the third quarter, as solid growth in Germany and France was dampened by countries at the sharp end of the debt crisis and economists expect a slide into recession by early next year.

The German economy grew by a solid 0.5% during the third quarter, largely thanks to higher consumer spending, official figures showed today.

GERMAN business confidence fell to the lowest since the 1993 recession as the ascent of the euro crushed exporters’ expectations, a survey of more than 21,000 companies by the DIHK industry and trade association showed.