Unclear if German recovery on solid footing-FinMin

BERLIN, Sept 21 - Germany's economy should continue its recovery in the third quarter but it is unclear if the turnaround is on a solid footing, the Finance Ministry said on Monday.

The ministry said in its monthly report it expected gross domestic product (GDP) to show further growth in the third quarter after pulling out of recession in the April-June period.

"It is unclear, however, if the positive economic signs indicate a fundamental and sustainable turnaround for the better," it said.

Exports of goods are clearly on the rise, and private consumption should continue to profit from a robust labour market and moderate consumer prices, the ministry added.

Germany pulled out of its deepest recession since World War Two in the second quarter, and recent indicators have boosted hopes growth will prove sustainable.

German exports rose for a third straight month in July, and manufacturing orders increased more than expected. Business sentiment jumped in August to its highest level in nearly a year.

Economists say, however, the recovery in Europe's largest economy is likely to be slow. The ZEW economic think tank's September survey of German analyst and investor sentiment, released last week, rose to a three-year high but fell short of expectations.