German economy to grow 1% in 2026 despite energy costs
The DIW institute predicts German GDP will grow 1% in 2026 as rising energy costs have only a minor impact. Inflation is expected to reach 2.4% this year.
Xurve View
Xurve View
The economic recovery in Germany is expected to face only minor setbacks despite rising energy costs linked to the conflict in Iran and shifting trade policies in the United States. According to the latest report from the DIW economic research institute, the nation's gross domestic product is projected to expand by 1% in 2026 and 1.4% in 2027, following a modest 0.2% growth recorded in 2025.
