German chamber of commerce raises 2026 growth outlook to 1%
EWG•The German Chamber of Commerce and Industry raised its 2026 growth outlook for Germany to 1% from 0.3%, while warning growth is largely driven by debt-financed public spending. It expects 1% growth in 2027, compared with the government’s forecasts of 1.3% in 2026 and 1.1% in 2027.
1. Outlook raised
The German Chamber of Commerce and Industry raised its 2026 growth outlook for Europe's largest economy to 1% from 0.3%. Chief executive Helena Melnikov said infrastructure and defence spending, along with exports, are supporting growth, but that Germany remains far from self-sustaining growth.
2. Business conditions
In a poll of 23,000 German businesses, 26% rated their current situation as good, up three points from early summer, while 23% rated it as poor. The German economy grew 0.2% in the third quarter despite higher prices linked to the Iran conflict and uncertainty caused by US tariffs; the chamber expects 1% growth in 2027.
