The German Bundesbank released its monthly economic report on Monday. The central bank said that Germany's economy is expected to expand in the second half of the year, supported by rising consumption and growing exports.

The country's economy is expected to benefit from real income rises, the Eurozone's recovery, a weaker euro and foreign demand, according to the report.

The Bundesbank pointed out that Greek economy will gradually recover, supported by the bailout programme, tourism income and investments.

Germany's central bank expressed concerns over the economic growth in China.

"The risks of a stronger economic slowdown remains high. The decision of the Chinese central bank to allow the yuan to depreciate against the U.S. dollar can be seen as evidence of the uncertainty," the Bundesbank said.