The industrial sector has helped Germany reclaim its position as continental Europe's economic powerhouse, with business confidence hitting a 15-year high.

The rise in the Ifo confidence indicator yesterday, for a fifth consecutive month, took the index to its highest level since March 1991, shortly after reunification. Economists had expected a fall. The latest rise, from 105.4 in March to 105.9 in April, highlights how companies have shrugged off higher oil prices, restored international competitiveness and boosted exports.