By Nina Adam 
 

FRANKFURT--German economic sentiment rose in January and analysts remained optimistic about Germany's near-term growth prospects despite the country's struggle to form a governing coalition.

The ZEW think tank said Tuesday that its measure of economic expectations rose by three points to 20.4 points, beating economists' forecasts of 17.5 points.

The 212 financial analysts and investors polled by the ZEW in January were also more upbeat about Germany's current situation and the corresponding ZEW measure hit its highest level since records began in late 1991.

The survey shows that Europe's largest economy continues to prosper despite its difficulties forming a governing coalition. Germany continues to be run by a caretaker administration about four months after an election that yielded no clear majority.

Write to Nina Adam at nina.adam@wsj.com

(END) Dow Jones Newswires

January 23, 2018 05:37 ET (10:37 GMT)