A closely watched survey shows German consumers are more optimistic, buoyed by the current calm in financial markets and expectations the economy will gradually revive over the course of the year.
The GfK institute said its forward-looking indicator rose to 5.8 points, up from a revised 5.7.
Analysts said the indicator is "another small piece of evidence that domestic demand should be an important growth driver in 2013."
The report shows overall economic expectations still in negative territory, at -11.3 in January - but that was an improvement from December's -17.9.
Income expectations rose to 36 in January from 21.2 in December, while consumers' willingness to buy was up to 35.3 from 20.1. The report is based on 2,000 consumer interviews.