Germany's electronics industry group ZVEI on Monday raised its production growth forecast for this year to 1% to 2% from a previous flat forecast, as a strong start to the year brightened the outlook for the sector.

Price-adjusted, real production increased 6% in the first two months of 2023, ZVEI said, citing strong demand for electrification and digitisation.

"The ongoing increase in employment is particularly pleasing," ZVEI head Gunther Kegel said in a statement, adding that the industry has around 900,000 employees, the highest in 25 years. (Reporting by Tom Kaeckenhof and Riham Alkousaa; Editing by Hugh Lawson)