German Economy Grows 0.3% in Q2 2026, Driven by Exports, Despite Employment Decline

Germany's Gross Domestic Product (GDP) increased by 0.3% in the second quarter of 2026 compared to the previous quarter, adjusted for price, seasonal, and calendar variations. This final figure, released by the Federal Statistical Office (Destatis), is 0.1 percentage points higher than the initial estimate. The growth was primarily fueled by a positive development in exports. However, overall employment in Germany saw a sharp decline of 0.5% (212,000 persons) in Q2 2026 compared to the same quarter last year, with the service sector experiencing its first employment decrease since the COVID-19 crisis.