DIW Raises German Growth Forecast
DIW Berlin raised its German growth forecast to 1.2 percent for 2026 citing strong exports. The institute warned that the recovery remains fragile amid high energy costs and structural challenges.
Germany raised its 2026 economic growth forecast to 1.2% on Wednesday, more than doubling its prior estimate amid stronger exports. The upgrade outpaces the previous 0.5% projection following a milder-than-expected energy price shock from Iran. Investors are weighing the improved near-term outlook against ongoing structural headwinds in Europe's largest economy.
