09.10.202501:31:51UTC+00Germany Raises 2025 Growth Forecast to 0.2%

The German government has revised its economic projections for the coming years, as reported by Reuters on Wednesday. The growth forecast for 2025 has been adjusted upwards to 0.2%, an increase from the previous estimate of zero growth announced in April. The GDP growth expectations for 2026 have also been enhanced, now predicted at 1.3% compared to the earlier 1.0%, while a 1.4% growth rate is anticipated for 2027. In terms of exports, a slight decline of 0.1% is expected in 2025, but this is projected to rebound with growth rates of 1.2% in 2026 and 1.6% in 2027. Furthermore, the number of unemployed individuals in Germany exceeded 3 million in August, marking a significant benchmark as it represents the highest level in a decade, indicating persistent challenges within the sluggish economy. Nevertheless, the latest government forecasts suggest a gradual improvement, with the unemployment rate projected to decrease from 6.3% this year to 6.2% by 2026, and further decline to 6.0% in 2027.