Franz Beckenbauer has predicted a place in the semi-finals for Germany at the World Cup, but warned them at the same time not to underestimate their opening opponents Australia.

Speaking at a press conference at Germany's training camp today, Beckenbauer, who is one of only two people to have won the World Cup both as a player and a manager, gave the current crop of talent his thumbs up and challenged the current coach Joachim Low to lead them into the last four.

"I saw the games against Hungary and Bosnia-Herzegovina on TV and what I saw was a lot of good movement, an enjoyment in their game and signs that things are working," said the 64-year-old.

"I said a few weeks ago that Germany are one of the favourites and the last few games have confirmed that to me.

"They can reach the semi-final and then, if they have a bit of luck, go beyond the semi-final."

The absence of Michael Ballack as a true leader on the field does not perturb Beckenbauer, who coached the 1990 World Cup-winning side featuring the influential figures of Lothar Matthaus, Jurgen Klinsmann and Andreas Brehme.

In fact, the Kaiser, who was an authoritative member of the 1974 World Cup-winning team, believes the current squad are just as well prepared for glory without their captain, who misses the tournament due to an ankle injury and who has been released by Chelsea.

"Of course this team is missing him because he is the captain, a leader and the head of the team," explained Beckenbauer.

"It has to be a disadvantage not to have a player like him, but Germany has a very balanced team.

"It does not have big stars, it is very balanced. In this case, it's an advantage.

"I don't know if you saw the last two test games, but they were very well organised with people helping each other so you don't really miss a big star, if they continue to play like this."

Philipp Lahm will instead lead Germany out after being named as their youngest ever captain for a major tournament.

He will wear the armband for the first time against Australia in Durban on Sunday and Beckenbauer has warned him to be ready for a baptism of fire.

"Australia gave Italy a very hard time four years ago and almost made it - I think it was the last minute of stoppage time with a penalty which denied them, so don't underestimate Australia," he warned.

Low, who was sitting alongside Beckenbauer at the press conference, proved that he had heeded the warning.

"We have heard what the president of Australia has said about anything less than the second round being a failure for them," he said.

"As Franz has just mentioned, they did well in 2006 and we only won 4-3 against them at the Confederations Cup (in 2005).

"We are not expecting anything spectacular, but they have an incredible amount of determination, passion and incredible organisation.

"They have incredible physical strength and defensive organisation while they do launch the occasional counter-attack and they are very, very hard to play against.

"But we will be self-confident and will go out there to win.

"We are going to attack and not just control the game - we want to be pro-active."