Dialogos

IMF Revises Up Growth Forecasts for German Economy

Published January 20, 2026, 15:00
IMF Revises Up Growth Forecasts for German Economy

The International Monetary Fund (IMF) has revised upwards its growth forecasts for the German economy. It now expects GDP to increase by 1.1% in 2026, up from the 0.9% predicted in October. Further growth of 1.5% is forecast for 2027. The IMF's new projections are more optimistic than those of the Bundesbank and Ifo, but more conservative than the German government's, which anticipates 1.3% growth based primarily on domestic demand and rising disposable incomes. According to the IMF, Germany is no longer the laggard in the G7 group and is expected to grow faster than Japan and Italy (0.7%) and slightly more than France (1.0%).