Germany's economy expected to grow 1.5% in 2026, according to the Ifo economic think tank

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06/12/2025June 12, 2025

Germany's foreign minister is meeting with European counterparts for talks on Ukraine. Meanwhile, Germany's sluggish economy is forecast to grow due to new government measures and a spending surge. DW has more.

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German Foreign Minister Johann Wadephul speaks during a press conference with Polish Foreign Minister Radoslaw Sikorski (not pictured) as they meet in Berlin, Germany, June 4, 2025.Wadephul is in Rome to meet with his European colleagues to discuss their ongoing support for UkraineImage: Nadja Wohlleben/REUTERS
Skip next section What you need to know

What you need to know

  • Foreign Minister Johann Wadephul is in Rome to meet with his counterparts from Italy, France, Germany, Poland, UK, Spain and Ukraine

  • The ministers will discuss European support for Ukraine, after pressure against Russia in recent weeks failed to yield a lasting ceasefire

  • Germany's Ifo Institut released its summer forecast for 2025, predicting a 1.5% growth for Germany in 2026
  • The country's economic growth is expected to double next year

Below is a round up of the major developments in Germany on Thursday, June 12:

Skip next section Ifo doubles growth forecast for Germany in 2026

06/12/2025June 12, 2025

Ifo doubles growth forecast for Germany in 2026

The Munich-based Ifo Institute has raised its economic growth forecast for Germany for 2026.

Gross domestic product (GDP) is expected to grow by 1.5%, which would be almost twice as high as the originally forecast 0.8%.

The institute said new government measures and a spending surge should boost the country's sluggish economy.

https://p.dw.com/p/4vnUA

Skip next section Welcome to our coverage

06/12/2025June 12, 2025

Welcome to our coverage

Guten Tag from a beautifully sunny Bonn! DW will bring you the latest development from across Germany, where the Ifo Institute for Economic Research is due to release its summer forecast for 2025.

Germany's growth forecasts have been dented by the disruption to global trade caused by US President Donald Trump's tariffs.

Meanwhile, Foreign Minister Johan Wadephul is headed to Rome to meet with his European counterparts to discuss the war in Ukraine.

Recent pledges by European powers to apply more pressure on Russia to agree to a ceasefire have failed to yield any sort of lasting truce.

The meeting in Rome coincides with German Defense Minister Boris Pistorius' trip to Kyiv, a visit which Pistorius says is evidence of the new government's commitment to continue supporting Ukraine in the war against Russia. 

Elsewhere in Germany, an appeals court is expected to rule on whether to uphold a ban on Compact, a magazine that was banned in 2024 after being classified as a "mouthpiece for the right-wing extremist scene."

The ruling on the far-right publication is expected to come on the same day that Germany marks Anne Frank Day, a commemoration of the Holocaust which often sees demonstrations and actions denouncing antisemitism and racism.

Stay tuned for all the latest headlines, analyses, multimedia content, and DW's on-the-ground reporting on all things Germany.

https://p.dw.com/p/4vnLq

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