German Ifo Institute released its business confidence figures for Germany on Thursday. German business confidence index declines to 108.7 in December from 109.0 in November. Analysts had expected the index to remain unchanged at 109.0.

"The economic situation could hardly be better in the run-up to Christmas," Ifo President Hans-Werner Sinn said.

The Ifo current conditions index decreased to 112.8 from 113.4. Analysts had expected the index to remain unchanged at 113.4.

The Ifo expectations index remained unchanged at 104.7, missing expectations for a rise to 105.0.