Germany has suffered massive economic losses due to ongoing crises since 2020. According to the Cologne Institute for Economic Research (IW), the inflation-adjusted GDP losses from 2020 to 2026 amount to approximately €940 billion.
This equals a decline in added value of more than €20,000 per employed person, driven by the COVID-19 pandemic, Russia’s war against Ukraine, and confrontational U.S. policies.
IW noted that about one-quarter of these losses occurred in 2026, largely due to customs conflicts with President Donald Trump’s administration. In 2025, Germany’s economy grew by only 0.2%, narrowly avoiding a third consecutive year of zero growth.
Sources – Agencies
