22:17 - 3.09.2026

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September 3, Fineko/abc.az. Germany's top economic think tanks (Ifo, IfW, RWI, and DIW Berlin) have raised their GDP growth forecasts for the German economy, citing a surprisingly strong performance in the first half of the year.

According to the Ifo Institute, Germany’s economic growth projection for 2026 has been upgraded from 0.8% to 1.4%, with 2027 growth forecasted at 1.2%. Massive fiscal stimulus packages totaling €40 billion this year, alongside strong manufacturing export orders, drove the upward revision. However, high energy prices stoked by Middle East tensions, elevated inflation (expected at 2.8% in 2026), and a widening budget deficit continue to pose significant structural risks.