German Economic Institutes Raise 2026 Growth Forecast to 1.3%

Five leading German economic institutes (DIW, RWI, Ifo, IWH, IfW) raised their joint growth forecast for 2026 to 1.3%, up 0.7 percentage points from spring, citing stronger-than-expected H1 performance despite Middle East conflict. The revision signals improved growth trajectory for Europe's largest economy, though it remains conditional on geopolitical stability.